Speaking at the New York Commercial Real Estate Women Network'spanel discussion on real estate finance in today's capital markets,Kim Diamond of Standard and Poors, noted that since Sept. 11 theindustry has seen the demise of single-asset securitization andthat larger loans were now being executed in diversified pooltransactions.

As far as large loan transactions are concerned, said CeciliaTarrant of Morgan Stanley, the need for terrorism insurance afterthe attacks became prohibitive to large projects, which then movedtoward fusion transactions--or deals pairing larger loans withseveral smaller ones.

But this trend now adds a layer of complexity to an alreadycomplex process, contended Brenda Mixson of Island Capital Group.Her firm was recently involved in a deal with five large loanssplit among several trusts. The big question now becomes where doesthe control lie, she explained. "In some investments we have nocontrol so we've required that we get the same information thatthose in control get," Mixson said. And knowledge, she added, isvaluable.

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