Commercial Real Estate Finance

Posts Tagged ‘Deutsche Bank’

Here’s a breakdown of the U.S. CMBS Market for the Last 10 Years (2002-11; I left out 2012 since we’re a couple months away from a final total). I’m ranking each year of the past decade from worst to best according to its CMBS transaction volume.

• 2009. $2.7 billion
• 2010. $11.6 billion
• 2008. $12.1 billion
• 2011. $32.7 billion
• 2002. $52 billion
• 2003. $77.8 billion
• 2004. $92.6 billion
• 2005. $166.5 billion
• 2006. $198.3 billion
• 2007. $228.6 billion

So, this is what a bubble looks like.

I assembled this ranking using data from various CMBS and commercial real estate data services, but I can’t guarantee these numbers are 100% accurate. Best to take these as ballpark sums. CMAlert.com (which offers free trials) is a good place to look for more in-depth discussion of the CMBS market. Read the rest of this entry »

Week in Review for March 17 – 23:

- Host Hotels and Resorts (HST) expects to raise $344 million in a private placement. It plans to use some of these funds to pay off the mortgage on its JW Marriott in Washington, D.C.

- Kenedix, Inc. plans a $480 million IPO in Japan. The properties to be included in this offering are mainly residential assets in Tokyo. This is the first IPO of a Japanese REIT since 2007.

- Commercial real estate analyst says the industry is better prepared for a recession than it was a few years ago: “Having gone through the Great Recession I think everyone is much more cognizant of the signs,” he says.

- Southern multifamily REIT Ginkgo Residential plans to raise roughly $250 million in an IPO. The REIT currently owns 24 complexes (5,678 units) in South Carolina and Virginia.  Read the rest of this entry »

Another gambling post? Yep, you better believe it! For some reason I have been fixated on gambling and the whole thought process behind the bets and wagers that people make. It really is an interesting topic to explore if you have any free time, or you could just watch professional poker on ESPN. Either way, it is a fun thing to observe and learn about. I mean, who doesn’t want to see someone go all in, bluffing with a 7-2 unsuited hand, and win it all? There is a great deal of psychology behind it, but I’m not an expert, so I won’t try to pretend that I am. However, I will say that betting against the odds is something that definitely sparks my interest. Luckily, for me, this is exactly what is currently happening with several Wall Street banks.

Read the rest of this entry »

Are you a gambling man (or woman, inserted for PCness)? Sometimes you win, but mostly, you lose. The odds are stacked up against you, with the exception of those gifted few that have the ability to count cards. Are you one of those gifted few? If so, do you need a new friend? Anyway, I wish I could say that I am one of those lucky people but unfortunately I am not, so, like the rest of you, I have to try my luck when, and if, I gamble. Call me conservative, but in order to lessen my risk of losing money I try to play the best odds I can. High stakes is just not for me, usually. Also, if I see a slot machine that someone is constantly losing their money on I avoid it like the plague.

Read the rest of this entry »

Commercial Real Estate Week In Review For the Week of April 30th to May 6th

- Bernanke Urges Government to Avoid Burdensome Regulations on Banks.

- Hersha Hospitality Buys LA Marriott for $48 Million.

- REITs Resume Top Ranking in Equity Stocks.

- The Federal Reserve Wraps up Bond Buying Program.

Read the rest of this entry »

As the amount of reliable banks, along with their benefits, continue to decrease, there are several which have held their place as Leading World Banks. Doughroller.net put together a list of the 10 Largest World banks ranked according to the amount of assets claimed.  Although most of the banks listed are European, a few American banks made the cut. (click this link for Doughroller.net’s Full article)

10. UBS AG – $1.8 Trillion in Assets

With Headquarters in Zurich and Basel, UBS AG offers services to private, corporate, and institutional clients holding its stance in major financial markets throughout the world. Read the rest of this entry »

Commercial Real Estate Week In Review for the Week of July 31-August 6

- Could CMBS loan defaults really reach 15% by year’s end?

- REIT ETF’s might be volatile, but they are still performing well.

- According to IMF, commercial real estate is still a big threat to the economy.

- Screw inflation fears….are we headed for deflation?  Some fund managers think so.

- The once vibrant industrial market of Exit 7A in NJ now has a 48% vacancy rate.
Read the rest of this entry »

Commercial Real Estate Week In Review for the Week of July 24-30

- Despite Financial Regulation passing last week, is the financial industry trying to influence policy?

- Tim Geithner thinks the government should retain a mortgage guarantee.

- Would fair-value changes affect private equity and venture capital?

- A CMBS fund has filed a foreclosure lawsuit against a Florida building owner

- Starwood is planning to expand its presence in NYC.
Read the rest of this entry »

CMBS stands for commercial mortgage backed securities.  Of course, if you asked borrowers about 18 months ago (and many even today), you might have thought it stood for Commercial Mortgage Bull $hit.  When CMBS financing was introduced to the commercial real estate industry earlier in the decade, it was viewed as a Godsend.  This was because rates and terms were better than those being put out on term sheets from conventional banks.  The reason for this, of course was that the loan originators (often large banks) would not keep these loans on their balance sheets, but instead sell them off in tranches, with the help of investment banks, to individual investors who had a wider appetite for risk.  Rather than putting all of their eggs in one basket with one property, they technically owned pieces of multiple properties that were all pooled together.  On the surface this seemed like a great idea and a win-win for all involved.  Obviously, the lax underwriting standards for these loans did not (and maybe could not) have taken into account the tumultuous events of the credit crisis. Read the rest of this entry »

The Week of July 4-10

-Apparently CBRE does want you to think about the environment before printing those emails.  They have submitted 225 buildings for LEED certification.

- Deutsche Bank is selling 825 Eight Avenue after all.

- A bankrupt lender has accepted funding that will pull them from the icy grip of Chapter 11.

- A mixed use property in London has fetched a 122 million Euro price tag.  What’s the conversion rate again? Read the rest of this entry »