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CMBS

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  • New York-based advisory firm Alvarez & Marsal has been hired to handle the sale of commercial real estate assets from Lehman Brothers, which filed for Chapter 11 bankruptcy protection last week.
  • Spreads on commercial mortgage-backed securities, which hit record levels last week, tightened rapidly on Friday morning.
  • A £153 million ($280 million) securitization backed by rent paid by HBOS has been downgraded due to a drop in the credit rating of the institution.
  • Lehman Brothers was on the verge of closing a distressed commercial mortgage-backed securities fund with a target amount of $1.25 billion before filing for bankruptcy.
  • Lehman Brothers is working to sell fixed- and floating-rate commercial mortgage-backed securities that it was holding on its balance sheet.
  • Two European commercial mortgage-backed securities deals have Lehman Brothers, which filed for bankruptcy this morning, as a major tenant.
  • JPMorgan is reducing staff in its commercial mortgage-backed securities group as a result of the bank’s acquisition of Bear Stearns as well as low origination volume.
  • Growing numbers of European commercial mortgage-backed securitizations facing loan-to-value covenant breaches are raising the concern of conflict between different classes of investors.
  • The growing numbers of serious breaches in European commercial mortgage-backed securitizations due to falling property values have raised the concern of a conflict of interest between different classes of investors.