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CMBS

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  • A Cohen & Co. fund buying primarily distressed mortgage-backed securities and other commercial and residential mortgage-related products has so far raised about $100 million and likely will grow to between $300-500 million, according to a source with knowledge of the fund.
  • Credit Suisse’s Titan Europe 2007-2 transaction has become the second in the series to be hit by a rating action as a result of the poor performance of the underlying assets.
  • Secondary market trading in U.S. structured products has been relatively quiet, a reflection of the summertime lull and current market conditions.
  • RBS Greenwich Capital has hired Craig Sedmak, the former head of commercial mortgage-backed securities trading at Bear Stearns.
  • Barclays’ Indus Eclipse 2007 has become the latest large U.K. commercial mortgage-backed securitization to be threatened with downgrades after one of the underlying loans went into special servicing.
  • Spreads on commercial mortgage-backed securities blew out over the past two weeks, widening substantially on concerns over credit quality in recent vintage deals and a general negative sentiment in the market.
  • Heavily defeased commercial mortgage-backed securities are being mispriced, leaving investors unaware of their potential value, according to a new report from Barclays Capital.
  • UK airport operator BAA this week finally completed its £13.7bn refinancing of acquisition debt, two years after its takeover by Ferrovial.
  • Two commercial mortgage securitisations originated by Credit Suisse ran into trouble this week.