Research - OCTOBER 14, 2014

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$69.2b in CMBS set to mature in the next year

by Reg Clodfelter

Just over $69.2 billion in U.S. CMBS loans are set to mature by Sept. 1, 2015, according to Trepp. The maturities are the first line in the wave of nearly $400 billion in CMBS loans set to mature by the end of 2017, according to Ed Shugrue, CEO of Talmage.

Of the maturing CMBS loans, more than $10.92 billion, or 15.8 percent, are currently delinquent and present opportunities for note sales, discounted payoffs or restructurings, leading Trepp to point out that “now is the time to capitalize on this opportunity.” The high influx of underperforming loans coming due should only continue in the coming years, as large portions of the 2006 and 2007 vintage CMBS loans were aggressively underwritten and overleveraged and will have likely run out of maturity options.

The largest proportion of outstanding loans, nearly 30 percent of the nation’s total, and the largest volume of loans set to mature in the next year, $18.2 billion, are on properties loca

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