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  • A failed modification attempt on a single, $470 million loan on a Los Angeles office tower is responsible for a 12-basis-point increase in the delinquency of loans in U.S. commercial mortgage-backed securities to 8.65% in May, according to Fitch Ratings.
  • Investors have been more cautious about putting money into long-term commercial mortgage-backed securities because of recent rate declines, as Treasury yields have fallen up to 91 basis points since March.
  • BNY Mellon Capital Markets is expanding its mortgage securities trading desk, picking up a handful of traders from Ally Securities, a unit of Ally Financial.
  • Secondary market trading volumes in European securitization have remained light since the start of June, but the broader market view suggests spreads in the core secondary markets are remaining resilient.
  • Balloon risk remains the key risk for the three largest German multifamily commercial mortgage-backed securities transactions, mainly because of “exceptionally large loan balances,” despite the strong market activity over the past year, according to Fitch Ratings.
  • San Joaquin County Employees’ Retirement Association committed $25 million to Marinus Capital Advisors, to be invested with the firm’s residential mortgage-backed securities strategy, according to sister publication Money Management Intelligence.
  • Prytania Investment Advisers has increased its Athena fund’s allocations to U.S. commercial real estate collateralized debt obligations, trust preferred CDOs and prime U.K. residential mortgage-backed securities in recent weeks.
  • The delinquency rate for loans in U.S. commercial mortgage-backed securities rose 0.29 percentage points to 8.85% in the first quarter, while commercial and multifamily mortgage delinquency rates dropped for banks, according to the Mortgage Bankers Association.
  • Investors in distressed Dutch commercial mortgage-backed securities could see returns of more than 15% because of recent pricing trends, according to Kempen, the Amsterdam-based merchant bank.