A Deeper Look at CMBS Special Servicing
Carlton Fields Executive Director – Financial Services Consulting Brian Olasov was quoted in a Mortgage Bankers Association Newslink article titled, “A Deeper Look at CMBS Special Servicing,” about whether the commercial mortgage-backed securities (CBMS) loans in special servicing rate is truly steady.
Though the CMBS special servicing rate has held constant, there are some shifts below the surface; the lodging, retail, and office sectors experienced enlarged special servicing rates, and the industrial and multifamily sectors saw definite decreases.
“Even though the rate is unchanged, that masks some bubbling underneath the numbers,” stated Olasov. “As legacy CMBS evaporate, the rate of transfers into special servicing from CMBS 2.0 deals escalates, albeit from a low base.”
