Our CMBS due diligence practice has been red hot sinceValentine’s Day. What makes me excited is that we have seen abrisk business from ten shops. There have already been threesuccessful CMBS bond issuances this month totaling over $2.5billion and another 4 issuances have just been announced that totalover $4 billion.

$55 billion dollars in CMBS debt is due to role in 2012 and thatdoes not count some of the paper that was scheduled to role in 2010and 2011 and has not yet refinanced or sold. The bottomline is that everyone knows this should be a good year, but if youare willing to look at due diligence books as a leading indicator,I am here to say that it is happening.

I don’t know if we are calling this CMBS 2.0 or CMBS 3.0, but aswith software upgrades we try to do things a little better witheach iteration. This blog is an opportunity to discuss howdue diligence is different.