CRE Securitized Debt Update
April 28, 2026
Private-Label CMBS and CRE CLOs
Five transactions totaling $3.6 billion priced last week:
- MTN 2026-LPFX, a $1.28 billion SASB backed by part of a $1.62 billion fixed-rate, five-year, interest-only loan for a joint venture led by Industrial Logistics Properties Trust (61%) and an undisclosed institutional investor (39%) to refinance 90 industrial properties (primarily single-tenant warehouses and distribution centers) totaling 19.2 million sf across 27 states. The portfolio is 96.3% leased to 36 tenants with a 5.5-year weighted average remaining lease term, led by FedEx (56.9% of gross rent across 45 properties) and Amazon (7.6%). The remaining $337.5 million of A-notes are expected to be placed in future conduit transactions.
- BDS 2026-FL17, a $1.1 billion CRE CLO sponsored by Bridge Investment Group, with $984.1 million of offered notes backed by an initial $923.1 million cut-off collateral pool plus a $200 million ramp. The managed transaction comprises 24 collateral interests secured by 27 properties, with a 90% minimum multifamily concentration. The pool’s top-three property types are multifamily (93.0%), mixed-use (3.8%), and manufactured housing (3.2%). The largest loan is an $82.2 million mortgage on The Hadley, a 444-unit apartment complex in Cape Coral, FL.
- SHOPS 2026-CSTL, a $712.5 million SASB backed by a $750 million fixed-rate, five-year, interest-only loan for Simon Property Group and Invesco Real Estate (50/50 JV) to refinance The Shops at Crystals, a 291,196 sf luxury retail center on the Las Vegas Strip that is part of the CityCenter complex and connected to the Aria Resort & Casino. The loan was underwritten to a 45.7% LTV, 10.8% debt yield, and 2.05x DSCR; proceeds retire a maturing $550 million 2016 mortgage and fund a $190 million equity cash-out.
- GGP 2026-2PAK, a $250 million SASB backed by a fixed-rate, five-year loan (30-year amortization schedule) for GGP (a Brookfield subsidiary) and the New York State Common Retirement Fund to refinance two regional malls: a 542,000 sf collateral component of the 1.53 million sf Willowbrook Mall in Houston and a 652,000 sf collateral component of the 1.17 million sf Altamonte Mall in Altamonte Springs, FL. The combined 1.19 million sf collateral pool is 96.8% leased; loan proceeds plus $26 million of sponsor equity are being used to retire $271.4 million of existing CMBS debt and pay closing costs.
- PRM8 2026-PRM8, a $240 million SASB backed by a fixed-rate, three-year, interest-only loan for Prime Storage Fund III to refinance a portfolio of 21 primarily self-storage properties. The loan was underwritten to a 73.5% portfolio LTV, 7.0% debt yield, and 1.16x DSCR.
By the numbers: YTD 2026 private-label CMBS and CRE CLO issuance totaled $55.7 billion, up 11% from the $50.1 billion for same-period 2025.
Spreads Come In
- Conduit AAA spreads were tighter by 2 bps to +75 while A-S spreads were unchanged at +110.
- Conduit AA and A spreads were unchanged at +135 and +190, respectively.
- Conduit BBB- spreads were unchanged at +440.
- SASB AAA spreads were tighter by 0 to 10 bps, depending on property type, to a range of +93 to +130.
- CRE CLO AAA and BBB- spreads were unchanged at +145/+150 (static/managed) and +325/+350 (static/managed), respectively.
Agency CMBS
- Agency issuance totaled $4.5 billion last week, comprising $2.5 billion in Fannie DUS, $1.1 billion in Ginnie Mae transactions, and an $843.9 million Freddie K transaction.
- YTD 2026 Agency issuance totaled $59 billion, 38% higher than the $42.8 billion recorded for same-period 2025.
Contact Raj Aidasani (raidasani@crefc.org) with any questions.