Erika Morphyis co-editor of Debt and Equity Journal, from whichthis article is excerpted.
Los Angeles—Providing upfront payments on a defeased CMBSloan's residual value is the latest development in this specializedspace. Unlike earlier innovations, this offering appears to bedriven by newer providers eager to make a dent in the market.
A newcomer to the defeasance industry, ReliableDefeasance has completed more than 50 transactions valued atnearly $1 billion. Executives at the firm attribute its growth notonly to aggressive marketing but also to its so-called monetizationproduct, which essentially pays clients up front for the expectedresidual value of the securities at maturity.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
*May exclude premium content
Already have an account?
Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
