Another CRE securitized structure is reportedly causing losses for its top tier, this one in another country and from a different corner of the real estate market. This matches recent reports that big banks are quietly beginning to sell their seniors in the space. Moreover, US homebuilder activity has plunged to new lows as the crosscurrents in the economy and financing are getting more unfavorable.
Eurodollar University’s Money & Macro Analysis
Bloomberg Pimco Warns of More Regional Bank Failures on Property Pain
https://www.bloomberg.com/news/articles/2024-06-11/pimco-warns-of-more-regional-bank-failures-on-commercial-property-pain
Bloomberg CMBS Buyers Face First Europe AAA Loss Since Credit Crunch
https://www.bloomberg.com/news/articles/2024-06-19/cmbs-buyers-set-for-first-europe-aaa-loss-since-credit-crunch
Bloomberg Losses Pile Up in Top-Rated Bonds Backed by Commercial Real Estate Debt
https://www.bloomberg.com/news/articles/2024-05-23/cmbs-buyers-suffer-first-loss-on-aaa-debt-since-financial-crisis
CREDiQ CRE CLO Distress Rate Widens to 9.74%
CREDiQ Loan Modifications Swell 195% in 12 Months
https://www.eurodollar.university
Twitter: https://twitter.com/JeffSnider_EDU
Eurodollar University’s Anniversary Webinar: The Fundamentals of Interest Rates over the Next 12 months.
Sign up below:
https://event.webinarjam.com/channel/rates