Stephen Blank

Stephen R. Blank joined ULI in December 1998 as Senior Fellow, Finance. His primary responsibilities include: expanding ULI’s real estate capital markets information and education programs; authoring real estate capital market commentary; participating as a principal researcher and adviser for the Emerging Trends in Real Estate series of publications; organizing and participating in real estate capital markets programs at ULI events worldwide; and participating in industry meetings, seminars, and conferences. Prior to joining ULI, Blank served from December 1993 to November 1998 as Managing Director, Real Estate Investment Banking of Oppenheimer & Co., Inc. His responsibilities included: structuring, underwriting, and executing corporate financings including initial public offerings of common and preferred shares, unsecured debentures, and convertible bonds; property acquisitions, dispositions, and financing; and financial advisory services including mergers and acquisitions, corporate restructurings, and recapitalizations.

The Trepp LLC survey showed spreads continuing at current levels as everyone appears focused on an array of non-real estate factors and events such as the Federal Reserve doing the “Twist”, Euro-financial market confusion, and Sovereign risk, to name a few. Deals are continuing to get done at slightly wider spreads.
According to an analysis by REIT Cafe, multifamily REITs have “thrived,” helped by Echo Boomers among the various age cohorts. The Trepp LLC survey showed spreads continuing at current levels, reflecting a “wait and see” attitude. Deals are getting done at slightly wider spreads as market participants wait out the impact of the Euro-credit crises on U.S. capital markets.
According to Trepp LLC, seven banks failed in August as compared to 13 in July; total failures in 2011 have reached 68, putting the U.S. on track to record 100+/- failures this year.
If you want to understand why rates quoted by conduits have increased during the past few months, look no further than the trading spreads being quoted on the securities created by the pooling of commercial and multifamily mortgage loans of cash flows from the underlying mortgages.
Due to earthquakes, hurricanes, and vacation schedules, the Trepp LLC survey will not be updated until after Labor Day. An informal survey we conducted this week showed most borrowers and lenders waiting for things to “just settle down.” We understand some insurance companies are considering instituting “Floor Pricing” but we’ve seen no official policy statements so far.
The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders showed spreads widening 15+/- basis points week-over-week, putting them 35 to 50 basis points wider than at the beginning of the month. Everyone seems to be in a holding pattern, afraid to pull the trigger so to speak and get caught on the wrong side of a transaction having a 5 year or longer maturity. Our recommendation: wait out the days till Labor Day at the beach!
The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders showed spreads widening an average of 20, repeat 20, basis points during the survey period as financing circles the field, waiting for word from the tower that it’s safe to land and for the markets to decide if it’s 1998 or 2007 again.
The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders showed spreads widening an average of 5 basis points during the survey period with financing remains available in the 5 percent +/- range.
The Commercial Mortgage Alert Trepp weekly survey of 15 active portfolio lenders showed spreads coming in at an average of 5 basis points during the survey period. Financing remains available in the 5 percent +/- range.
Lenders continue to be more aggressive, citing pressure to put money out for strong sponsors with quality real estate. (Re)development and construction activity as well as interest in secondary/tertiary markets are increasing.
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