Tuesday, January 31, 2012

Guggenheim partnering with DB and Ladder on CMBS deal coming in February

via CMA


crabsofsteel said...

oh jeez. let's pretend that the first lien is a real first lien and that there can't be mods which imperfect that. what a joke!

Dark Space said...

I don't follow - can you elaborate?


crabsofsteel said...

CMBS are backed by what are supposedly first lien loans, i.e. the loan is secured (perfected = wholly) by the real estate. Take a look at some of the recent A/B mods. Specials are restructuring loans with new equity infusions with guaranteed rates of return ahead of the B-notes. The mods of the Empirian loans in MLMT 07-C1 state that if the A-note is paid off at maturity, no payment is due from the B-note. So the B-note can not foreclose.