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CREFC Balance-Sheet Lending Leaders Convene for Strategic Roundtable Dinner

May 5, 2026

Last week, CREFC President & CEO Lisa Pendergast hosted an exclusive roundtable dinner, bringing together key members of the Portfolio Lenders Forum (Bank and Insurance) and the Alternative Lenders & High Yield Investors Forum. The evening featured special guest Leland F. Bunch, CREFC Chair and Managing Director at Bank of America, alongside a distinguished group of leaders from the balance sheet lending community.

Participating firms included senior representatives from BGO, Blackstone, Bridge Debt Strategies, Derby Lane Partners, KKR, PGIM, Regions Bank, and US Bank. The intimate setting provided a unique venue for these industry leaders to engage in a candid dialogue regarding current market developments and to offer strategic suggestions on how CREFC can further support the sector.

Key Discussion Highlights:

• The Divergence of Private Credit Performance: The group examined the growing performance gap between unsecured Private Credit, which has faced increasing headwinds, and secured real estate debt funds. Participants noted that real estate debt funds have emerged as beneficiaries of this market divergence, providing strong value propositions in the current environment.
• Benchmarking and Data Development: A critical point of discussion centered on the need for improved transparency and data in the private secured debt space. Executives explored the potential for developing a dedicated index to provide accurate performance benchmarking for the sector.
• Market Trends, Competition, and Credit: Leaders shared observations on trends in the market: while overall deal volumes are down, competition among balance-sheet lenders remains fierce. Members reported that while spreads have tightened to secure quality transactions, they have successfully maintained rigorous credit standards, prioritizing portfolio resilience over volume.

Engage with CREFC Forums

CREFC’s Forums offer a dedicated space for members to share insights, develop industry best practices, and influence policy. We encourage all members to engage actively with their relevant forums to help shape CREFC’s policy and capital markets initiatives.

• Join a Forum: Visit the Forums Engagement Page
• Questions? For more information regarding CREFC Forums, please contact Rohit Narayanan at rnarayanan@crefc.org.

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CRE/CLO Update

May 5, 2026

Progress on CREFC’s Collateral Manager Data Report (CMDR) and Upcoming June Meeting

CREFC continues to spearhead efforts to enhance transparency and standardization across the CRE CLO landscape. As we approach the mid-year mark, significant strides have been made in the adoption of the Collateral Manager Data Report (CMDR), alongside new opportunities for industry-wide collaboration.

Save the Date: CRE CLO / IRP Joint Meeting

The upcoming CREFC Annual Conference will feature a dedicated in-person joint lunch meeting of the CRE CLO Working Group and the Investor Reporting Package (IRP) Committee. This session is geared for participants to provide comments and suggestions on CRE CLO and IRP reporting.

• When: Monday, June 8, 2026 | 12:30 PM – 1:30 PM
• Registration: Register Here
• Note: Registration for the full CREFC Annual Conference is not required to participate in this specific meeting.

Collateral Manager Data Report (CMDR) Implementation

Adoption of the CMDR is gaining significant momentum. This quarter marks a turning point as several additional firms have begun active reporting. The integration into major data platforms is also moving forward rapidly:

• Intex: Active reporting is underway.
• Trepp: Scheduled to begin reporting by the end of May.
• Bloomberg: Now reviewing requirements to facilitate this reporting in the future.

Furthermore, CREFC is actively developing CMDR v2. Our goal is to circulate this updated version for review by the working group prior to the June Annual meeting, ensuring that the latest feedback from market participants is incorporated into the draft.

What's Next: Advancing CRE CLO Financials Reporting

Streamlining the reporting of financials remains the next top priority for the working group. Recent discussions with a diverse group of Issuers, Investors, and Servicers revealed a variety of perspectives on the most efficient path forward.

Given the importance of achieving a consensus that serves all market participants, we will be hosting a live discussion during the June 8th meeting at the Conference. This will be an essential opportunity to weigh different viewpoints and determine the best strategy for streamlining these critical data sets.

Get Involved 

Your feedback is vital to the success of these initiatives. For any questions or comments regarding these updates, please reach out to Rohit Narayanan at rnarayanan@CREFC.org.

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Portfolio Lending Update: A Divergence in Spreads as Balance-Sheet Lenders Compete for Limited Deal Flow

April 14, 2026

The Insurance and Bank Portfolio Lenders Forums recently discussed market conditions amidst persistent geopolitical and macroeconomic headwinds. The primary takeaway is a notable divergence in pricing. Spreads have tightened for balance-sheet executions even as the broader capital markets experienced moderate widening.

Market Dynamics: The Search for Volume

The abundance of available debt capital relative to a limited supply of high-quality lending opportunities is driving downward pressure on spreads, forcing an override of potential increases in risk premiums.

• Vertical Stability vs. Core Drop: While bridge and construction verticals remain stable, the core pipeline has seen a significant contraction due to market volatility.
• The "Maturity Trigger": Acquisition activity remains muted. Outside of imminent maturities, borrowers are largely sidelining permanent loan refinancings in hopes of greater market certainty later in the year.
• Competitive Pricing: Banks have become increasingly aggressive in pricing construction and floating-rate products. The stance is challenging life company competitiveness in traditional "core" territories.

Benchmark Spreads & Pricing

Lenders are tightening spreads to "win" the few institutional-quality transactions coming to market.

Asset/Transaction Type and Reported Spread Range

• Multifamily Construction (Tier 1) - High 100s
• Other Major Asset Classes - Low 200s
• Back Leverage (Top-Tier) - ~130s

Note on CRE CLOs: The tightening of back-leverage pricing to the 130s serves as a potential dampener for the CRE CLO market, which has seen an orderly widening of spreads since the onset of recent geopolitical conflicts. Market participants have indicated a slow down on CRE CLO transactions is the likely result.

Credit Strategy & Risk Appetite

Despite the "chase" for yield and volume, the Forums expressed a disciplined approach to credit:

• Tier 2/Secondary Markets: Lenders are selectively exploring secondary markets to capture better spreads, but asset quality concerns remain a significant barrier.
• No "Race to the Bottom": There is little to no appetite among Forum members to lower credit standards or loosen underwriting discipline to secure deal flow.

Outlook: The Forums expect spreads to remain compressed in the near term until a meaningful pickup in transaction volume rebalances the supply/demand for debt capital.

Contact Rohit Narayanan (RNarayanan@crefc.org) with any questions.

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Geopolitical Shocks & Market Volatility – CREFC Investor Forums Share Markets Updates

March 31, 2026

The CMBS and CRE CLO markets, which entered 2026 with significant momentum, have transitioned into a period of uncertainty. The escalation of conflict in the Middle East has recalibrated investor expectations and introduced a fresh layer of volatility into what was previously a normalizing market.

Market Sentiment & Macro Impact

The late-March "geopolitical shock" has triggered a classic "flight to quality," characterized by wider pricing on new deals and a marked increase in investor caution.

• The "Iran War" Effect: Market participants are closely monitoring the 5-year and 10-year Treasury yields, which have surged approximately 50 bps in the past month. Unlike the reactions seen during the Ukraine Invasion or "Liberation Day," the S&P 500 has seen a more measured drop of approximately 7%, suggesting the market may be pricing in a quicker resolution—though many bond investors remain skeptical of this optimism.
• Refinancing Friction: The sudden rate spike has created immediate friction for active deal pipelines. Borrowers may be reluctant to close loans at current levels, and some loans are being reworked to adjust for higher rates.
• Bifurcation: There is a divide in liquidity. While "trophy" assets like data centers remain resilient, we are seeing "credit dispersion" in the secondary market, where distressed sectors like Class B office and retail are widening significantly more than industrial assets.

Sector-Specific Performance

1. Conduit CMBS. Conduit products have recently "underperformed" relative to SASB and CLO structures as macro volatility rattles pricing.
   • Spreads: Benchmark AAA LCF (Last Cash Flow) spreads have widened from S +72 bps in early Q1 to the mid-80s by late March.
   • B-Piece Resilience: Feedback from the B-Piece Forum suggests that while yields tend to lag the broader market, buyers are reacting by "removing the marginal loan" from pools rather than just requiring wider yields. The mezz market remains a "deal-by-deal" environment with highly varied outcomes.
2. Single-Asset Single-Borrower (SASB). SASB remains the dominant force, accounting for nearly 75% of total private-label issuance.
   • Selectivity & Pauses: The market is open but more selective. Some SASB deals have been put on pause due to wider pricing. Investors are pushing back on AAA and BBB tranches, leading to deal delays when initial "test" pricing fails to find traction.
   • Data Center Strength: High-conviction sectors continue to drive volume, however, even these "gold standard" assets are seeing a shift toward shorter-term structures to navigate the current rate environment.
3. CRE CLOs. The CRE CLO market has seen a massive resurgence, with issuance reaching $11.2 billion by early March (up 34% YoY).
   • Collateral Shift: Multifamily remains the backbone (~70%), while office exposure has cratered to less than 3%.
   • Relative-Value Play: Interestingly, some investors are reportedly selling senior AAA CRE CLOs to pivot into Corporate CLO dislocations (driven by recent AI/Software sector news) as a total return play.

Asset Class Nuance: The Impact of Oil and AI

• Hotel Sector: Rising oil prices are expected to create a "K-shaped" recovery. Select-service hotels and those catering to lower-end demographics are viewed with increased concern as higher fuel costs squeeze consumer discretionary spending.
• Office & AI: While the Iran war has taken center stage, underlying anxiety regarding AI’s impact on long-term office employment remains a background headwind, adding to the structural uncertainty of the sector.

Capital Flow Observations

What’s Next. An Emerging Theme among Participants Is the Potential for "Capital Rotation." As noise increases in Private Credit (where asset values are perceived to be at "top-quartile" levels), there is an expectation that capital may flow into Real Estate Credit, where valuations are seen as having hit "bottom-quartile" levels, providing a more attractive entry point.

Bottom Line: The market remains open for transactions with strong fundamentals and realistic pricing expectations. However, for "tougher" deals or those with structural question marks, the current geopolitical environment has triggered a "wait-and-see" approach.

Contact Rohit Narayanan (rnarayanan@crefc.org) with any questions.

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Shape the Future of CREFC: Call for Forum Chair-Elect Nominations

March 3, 2026 

A vital part of the CRE Finance Council’s mission is driven by our Forums—specialized peer groups that serve as the engines of industry progress. Beyond providing a platform for discussing sector-specific trends and regulatory shifts, these groups are instrumental in tackling systemic issues and driving tangible change in how the industry operates, including the development and widespread adoption of market-leading best practices.

To ensure these groups continue to lead the industry conversation and catalyze meaningful change, we are officially opening nominations for our next class of Forum Chair-Elects.

This is a unique opportunity for members to take a leadership role within the Council, helping to curate programming and advocate for the interests of their specific market segment.

About the Forums

Our Forums are divided by constituency and asset focus to ensure relevant, high-level engagement across the CRE Finance industry. We are currently seeking leadership for the following groups:

• Alternative Lenders and High Yield Investors
• B-Piece Investors 
• GSE/Multifamily Lenders
• Investment-Grade (IG) Bondholders
• Issuers
• Portfolio Lenders – Bank & Insurance Company
• Servicers – Master and Special

Nominee Requirements

To maintain the high caliber of leadership our members expect, we invite nominations for individuals who meet the following criteria:

• Member Alignment: Nominees must be current employees of a CREFC member firm.
• Sector Expertise: Candidates should demonstrate significant professional experience and a proven track record within the specific Forum’s sector.
• Commitment to the Industry: A desire to contribute to the collective voice of the CRE finance community and a willingness to collaborate with fellow industry leaders.

Submit Your Nomination

Whether you are interested in stepping into a leadership role yourself or would like to recommend a colleague who has demonstrated exceptional insight and dedication to the industry, we want to hear from you.

The nomination process is straightforward and can be completed via the link below: SUBMIT A NOMINATION 

For a detailed breakdown of each Forum’s mission and current activities, please visit our Forums Overview page.

Join us in steering the future of CRE finance—nominate a leader today.

Contact Rohit Narayanan (RNarayanan@crefc.org) with any questions.

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Collaboration in Focus: Highlights from the CREFC Servicer/Investor Roundtable

February 10, 2026

CREFC’s President and CEO Lisa Pendergast recently hosted the trade association’s latest industry roundtable, bringing together Master and Special Servicers with Bond Investors to foster dialogue and build consensus across the commercial real estate finance landscape.

The gathering featured a robust lineup of industry leaders. 

• Servicers were represented by firms including Berkadia, CW Capital, K-Star, KeyBank, LNR Partners, Midland, Situs, and Trimont. 
• Bond Investors in attendance included representatives from Alliance Bernstein, DWS, Ellington, JP Morgan, Lord Abbett, MetLife, Prime Finance, Torchlight, and Webster Bank.

Common Ground and Constructive Dialogue

The evening’s discussion was characterized by a spirit of collaboration. Participants moved beyond individual interests to identify shared challenges and potential solutions for the broader market.

What they're saying: "The discussion at the table left me believing that we have more in common than we do in conflict," noted Adam Smith, Director at DWS Group and Chair of the CREFC Investment Grade Bondholders Forum. "I found it very worthwhile to identify shared pain points and agree they should be addressed."

Key Discussion Points

The conversation spanned high-level market trends and specific operational improvements, including:

• Macro Market Outlook: The current status and future trajectory of the Conduit, SASB, and CRE CLO sectors.
• Operational Enhancements: Improving the reporting processes for property releases.
• Technical Resolutions: Streamlining non-recoverable determinations to ensure market clarity.

Dana Jo Martino, SVP – Managing Director, Asset Management Servicing at Berkadia and co-Chair of the CREFC Servicer Forum, emphasized the value of these face-to-face interactions, stating:

"Our roundtable proved that when we combine diverse expertise with candid conversation, real solutions emerge," she said. "The meeting was both collaborative and highly productive, reinforcing the value of working together to address the challenges ahead."

Get Involved

CREFC Forums provide a platform for members to shape industry standards and solve complex market issues.

Click here to learn more and join a CREFC Forum.

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