Leverage on the rise in bullish US CMBS, but property values a growing concern

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Leverage on the rise in bullish US CMBS, but property values a growing concern

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Leverage levels in US commercial real estate bonds are set to rise in 2018, according to Fitch Ratings, after three years of decline. The trend is a worry for many in the market, against the backdrop of loosening deal structures, pullback of offshore investors and words of warning from the former Federal Reserve chief on the sector.

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