Joel's Twitter Feed
- Multifamily Lenders Share Their Biggest Concerns For The Road Ahead - http://nreionline.com/news/multifamily_lenders_biggest_concerns_0203/
- CMBS Delinquency Could Peak at 12%: http://bit.ly/8GMPdG via @addthis
- Remington Financial Group, Inc. - New Distressed Owner and Debt Opportunities Program, http://hubpages.com/t/db8c6
- Remington Financial has two new webinars are available for brokers to help find and structure new financing options for distressed owners.
- Lack of Bank Liquidity Threatens Commercial Real Estate Market http://www.dsnews.com/s/u-mhn2 #dsnews
Mortgage Calculator
 | ||||
 | ||||
Remington Has Funds to Recapitalize Even CMBS Deals
Banks and commercial lenders will continue the deleveraging trend throughout 2010. The trend is starting to be seen in secondary and tertiary markets hardest hit with increasing vacancies and decreased cash-flow.
The CMBS market shows a 4.5% default rate on their entire portfolio, with lodging at 11%, and multifamily at 7%. CMBS transactions that are in risk of default are being turned over to special servicers to ultimately make a decision to either do a work-out or foreclose and auction off assets. The CMBS transactions will be the hardest to recapitalize due to the amount of red tape that borrowers will need to go through.
The good news is that Remington has funds that are being deployed to recapitalize these types of transactions. Please give me a call and let’s discuss. In addition to our expert advisory services, we are your best access to commercial capital.
Thank you – Joel Nathanson, Remington
Remington Comments on a ‘Meaningful’ 2010 Recovery
In a Mortgage Bankers article this week, Michael Murray predicts a ’meaningful’ end-of-2010 recovery in commercial real estate. I agree that property values will stabilize by the end of 2010.
This will happen for another of reasons. One is that small community and regional banks not in the class of being “too large to fail” will be forced to sell their distressed notes at a discount to achieve the ratios of cash/distressed debt that are required for by the FDIC. With the banks selling the notes at a significant discount, the private sector will begin to deploy capital under stricter underwriting guidelines. With the capital markets beginning to recover, the number of transactions will increase, which in-turn will provide much needed comps to support property values.
In the meantime, owners are distressed and if their lender decides to call their note before property values recover, it would be a disaster. That’s exactly why we’ve designed the Distressed Owner Recapitalization Program – please call me for details! Thank you – Joel Nathanson, Remington.