Engage

CRE Finance Council Forums

CRE Finance Council Forums are market constituencies that drive the global commercial real estate finance industry. Our Forums include GSE/Multifamily Lenders, High Yield and Distressed Realty Assets, Investment-Grade Bondholders, B-Piece Investors, Issuers, Portfolio Lenders, and Servicers. Each of these Forums interacts and addresses issues critical to their business sector and works to achieve solutions that serve a common purpose.

As these Forums collaborate, CRE Finance Council’s objectives are to represent all Forum participants, manage disparate and converging views, advocate a consensus of positions to policy and lawmakers, educate members, develop best practices, and work toward the betterment of the entire commercial real estate finance market.

Contact Kathleen Olin or call (202) 448-0863 for Forum related questions.

Forum Related News

News

Portfolio Lenders Forum Spotlight

October 17, 2022. 

Together, Stefanie, Chris, Michael, Jonathan, Scott and Lissette form the “Leadership Working Group” for CREFC’s Portfolio Lenders Forum. Importantly, this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee.

Key Portfolio Lender Focus Areas

  1. Regulatory considerations and muted capital markets activity pressuring bank balance sheets, along with CRE allocation or other loan book size constraints.
  2. More disciplined underwriting (increasing expenses and cap rates) coupled with higher interest rates (heightened emphasis on rate sensitivity analysis) and declines in valuations across the board.
  3. Escrows (taxes and insurance for example) that were once waived due to low leverage are back as a result of lower valuations and DSCRs.
  4. Credit focus shift towards the office sector, with increasing delineation between the ‘haves’ and ‘have nots’.
  5. ESG-linked financings are increasingly a focus for both borrowers and lenders.

Looking ahead:  Due to the uncertainty in the capital markets, asset managers are looking ahead to avoid maturity defaults on maturing bridge debt. From a portfolio management perspective, lenders are examining office concentrations as well as transactions that no longer hit DSCR targets in the current rate environment. Refinancing comes at a high cost with a principal paydown, fees and high cap costs.  Those borrowers looking to sale as an exit no longer have certainty of execution. 

What’s Next? Forum leaders are planning a virtual forum-wide legislative and regulatory policy update and will soon be formulating the agenda for the forum session at CREFC’s January conference. 

To join the Portfolio Lenders Forum, please register here.  For any forum related questions, please contact Kathleen Olin at kolin@crefc.org

Contact 

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org

CREFC'S Portfolio Lenders Forum

Together, Stefanie, Chris, Michael, Jonathan, Scott and Lissette form the “Leadership Working Group” for CREFC’s Portfolio Lenders Forum. Importantly, this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee.

The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2021 CRE Finance Council. All rights reserved.
Portfolio Lenders Forum Spotlight
October 17, 2022
Together, Stefanie, Chris, Michael, Jonathan, Scott and Lissette form the “Leadership Working Group” for CREFC’s Portfolio Lenders Forum. Importantly, this group sets the agendas and priorities for the Forum, as well as represents their constituencie

News

Forum Spotlight - Investment-Grade Bondholders

October 3, 2022

Together, Jane, Rich, and Manish form the “Leadership Working Group” for the IG Bondholders Forums. This group sets the agendas and priorities for the Forum, as well as represents investors on CREC’s Policy Committee.

Key Investment-Grade Bondholders Focus Areas/Goals

1. Quality, consistency, and standardization of investor reporting for the CRE CLO sector;

2. Improving disclosure of strike rates on interest rate caps for SASB loans in extension periods;

3. Re-authorization of National Flood Insurance Program (NFIP) to provide a backstop for flood insurance (NFIP has been extended to Dec. 16, 2022, as part of the the government funding deal); and

4. Continue CREFC efforts in establishing a set of disclosures focused on environmental factors, including data points relative to climate perils, energy consumption/efficiency, and greenhouse gas emissions.

Looking ahead, leaders are concerned about liquidity in the market, the impact of higher rates on loans’ ability to refinance, any degradation in floating-rate DSCRs and interest rate caps. They continue to consider the reduced representation of conduit CMBS in the Bloomberg Agg. Index and alternative benchmarks that incorporate a larger component of the CMBS universe.

What’s next?:  Forum leaders are planning a virtual forum wide legislative and regulatory policy update and will soon be formulating the agenda for CREFC’s January Conference.

To join the IG Bondholders Forum, please register here. For any forum related questions, please contact Kathleen Olin at kolin@crefc.org.

CREFC's Forum Policy Matrix for IG

CREFC’s Forum Policy Matrix with issues applicable for IG bondholders. Click here for the full matrix.

 


Contact

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org
CREFC's Investment-Grade (IG) Bondholders Forum Leaders
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2022 CRE Finance Council. All rights reserved.
Forum Spotlight - Investment-Grade Bondholders
October 3, 2022
Together, Jane, Rich, and Manish form the “Leadership Working Group” for the IG Bondholders Forums. This group sets the agendas and priorities for the Forum, as well as represents investors on CREC’s Policy Committee.

News

Issuer Forum Highlight

September 26, 2022

Together, David, Jane and Dan form the “Leadership Working Group” for the Issuers Forum set agendas and priorities for the forum, as well as represent the constituency on CREFC’s Policy Committee.

Key Issuers Focus Areas

  • Improving competitive positioning of securitized lenders, especially in light of significant interest rate and credit spread volatility
  • Enhancing transparency within the CMBS market both pre- and post-securitization with a current emphasis on standardizing disclosure and reporting across the CRE CLO sector
  • Maintaining open dialogue with other market participants to help promote responsible lending, including incorporating feedback on structural and documentation enhancements necessary to improve both the borrower experience and loan performance
  • Balancing conduit pools to account for evolving investor preferences across property types and other credit concerns
  • Ensuring that we proactively manage regulatory changes such as LIBOR transition and also retrospectively evaluate previously implemented regulatory measures such as risk retention to determine if any modifications would be beneficial

Looking ahead, leaders are concerned that recent volatility in rates and deteriorating capital markets conditions may disproportionately impact CMBS issuance in the near term. That said, we remain focused on improving transparency, liquidity, and performance to best position the sector to capitalize on opportunities and grow market share as conditions stabilize.

What’s Next: Forum Leaders are planning a virtual forum wide legislative and regulatory policy update and will soon be formulating the agenda for CREFC’s January Conference.

To join the Issuers Forum, please register here. For any forum related questions, please contact Kathleen Olin (kolin@crefc.org).

Contact

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org
Issuers Forum Leadership
Leaders are concerned that recent volatility in rates and deteriorating capital markets conditions may disproportionately impact CMBS issuance in the near term. That said, we remain focused on improving transparency, liquidity, and performance to best position the sector to capitalize on opportunities and grow market share as conditions stabilize.
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2022 CRE Finance Council. All rights reserved.
Issuer Forum Highlight
September 26, 2022
Together, David, Jane and Dan form the “Leadership Working Group” for the Issuers Forum set agendas and priorities for the forum, as well as represent the constituency on CREFC’s Policy Committee.

News

CREFC’s Servicers Forum

September 19, 2022

Together, Stacy, Leslie, Rich and Carl form the “Leadership Working Group” for the Servicers Forum and set agendas and priorities for the forum, as well as represent the constituency on CREFC’s Policy Committee.

Current issues include:

ESG and Servicers

  • CREFC is well along in establishing a set of disclosures focused on the environmental side of the equation. This includes 51 data points relative to climate perils, energy consumption/production/efficiency, and greenhouse gas emissions.
  • Working to address the other aspects of ESG in a uniform manner.
  • Evaluating potential guidance and playbook opportunities related to ESG initiatives for servicers to be sponsored by CREFC.

 LIBOR to SOFR Transition

  • Implementation weighs heavily on the servicing community as we have been exploring how to implement the changes into day-to-day servicing operations for legacy loans and new issuance. This means deciphering myriad transition language variants within loan documents and discussing how to implement those changes with borrowers and what management of that entails, as well as encouraging consistency in new loan documentation and addressing licensing for the use of Term SOFR.
  • Recommended guidance to be issued on behalf of CREFC for servicers once final Fed rules are published.

Topics discussed at the June conference included:

  • Impressive handling of COVID forbearances and mods
  • Pivot to WFH and now return to office
  • Working through delinquencies
  • Cyber risk / vendor management
  • Division of duties between MS/SS/PS
  • Servicing transfers
  • Delays in reporting for CLOs
  • Reporting timelines—CAs asking for shorter turn arounds from MS
  • Staffing challenges
  • Impact of rising interest rates
  • Increased competition with respect to origination; impact on underwriting and documentation
  • Impending maturity dates
The leaders will also begin planning content for the January forum session.  To join the Servicers Forum, please register here. For any forum related questions, please contact Kathleen Olin (kolin@crefc.org).

Contact

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2022 CRE Finance Council. All rights reserved.
CREFC’s Servicers Forum
September 19, 2022
Together, Stacy, Leslie, Rich and Carl form the “Leadership Working Group” for the Servicers Forum and set agendas and priorities for the forum, as well as represent the constituency on CREFC’s Policy Committee.

News

CREFC's B-Piece Investors Forum 2022 Update

September 12, 2022

Together, Lyndsay, Zach, and Jason form the “Leadership Working Group” for CREFC’s B-Piece Investors Forum. Importantly, this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee.

Key B-Piece Investors Focus Areas

  • Maintaining discipline on new issue credit as increasing interest rates are reducing cushions in DSCR and pushing up cap rates
  • Though delinquencies and special servicing rates continue to decline, directing certificate holders are concerned about those assets in special servicing, as increasing interest and cap rates impact exit strategies
  • Rethinking loan structures—cash flow sweeps that are supposed to spring when a credit event happens aren’t working as designed

Looking ahead, leaders are optimistic that fixed-rate volume will improve relative to 2022 and would welcome more transactions. The forum would like to continue the push towards better use of technology, including use of AI, to improve the speed of reporting from borrowers to servicers and trustees to investors. Challenges for this sector are the uncertain economy and the staying power of the post-COVID recovery in hotels and retail and the still unfolding effect on office.

What's next: Forum leaders are planning a virtual forum wide legislative and regulatory policy update and will soon be formulating the agenda for CREFC’s January Conference.

To join the B-Piece Investors Forum, please register here. For any forum related questions, please contact Kathleen Olin.

Contact

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org
CREFC'S B-Piece Investors Forum
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2022 CRE Finance Council. All rights reserved.
CREFC's B-Piece Investors Forum 2022 Update
September 12, 2022
Together, Lyndsay, Zach, and Jason form the “Leadership Working Group” for CREFC’s B-Piece Investors Forum. Importantly, this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee.

News

CREFC GSE/Multifamily Lenders Forum

August 1, 2022

GSE Representatives:

Alonzo White
Principal
Fannie Mae

Jason Griest
Vice President, Multifamily
Capital Markets Securitization
Freddie Mac

Together, Emily, Kate and Bill form the “Leadership Working Group” for CREFC’s GSE/Multifamily Lenders Forum. Importantly this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee. New this year, Fannie Mae and Freddie Mac have each nominated a representative to assist the Leadership Working Group.

Conversations at CREFC’s June conference focused initially on the GSEs and the impacts of economic volatility: Fed rate hikes, inflation at the highest level in 40 years, Treasury and bond spread unpredictability, and global unrest/Ukraine. Taken collectively, these issues have proved challenging to asset and bond-level valuations, with sellers and buyers pausing to take stock of the market and often putting decisions on hold. To the good, an abundance of available equity in need of deployment suggests this period of price discovery may be short lived.

The post COVID explosion of debt sources for housing investment created strong market competition that often rendered the GSEs less competitive. Even so, there seemed to be enough volume for all debt sources to gain ample traction.

At CREFC’s June Conference, the GSE panel highlighted more conservative underwriting and weakening exit assumptions. In times of economic uncertainty, the agencies tend to stand out as a steady source of debt and liquidity.

A heightened focus on affordable housing demand and trends is top of mind with the need for the agencies to serve their mission goals with providing ample liquidity for affordable and workforce housing, especially in high-cost areas. Sourcing and financing affordable projects is challenging today given lower availability coupled with changing migration trends. Looking ahead for opportunities, GSE forum leadership has discussed ESG issues with a focus on green and social bonds, Single Family Rental (SFR), Build to Rent (BTR), and adaptive reuse.

Challenges for the year include managing the FHFA’s cap and goals for affordability, and whether they will have sufficient remaining liquidity for lenders to serve their non-mission driven clients.

Additionally, these recent policy issues are of interest for GSE/Multifamily Lenders:

To join the GSE/Multifamily Lenders Forum, please register here. For any forum related questions, please contact Kathleen Olin.

 

Contact

Kathleen Olin
Managing Director, Industry Initiatives
202.448.0863
kolin@crefc.org
The information provided herein is general in nature and for educational purposes only. CRE Finance Council makes no representations as to the accuracy, completeness, timeliness, validity, usefulness, or suitability of the information provided. The information should not be relied upon or interpreted as legal, financial, tax, accounting, investment, commercial or other advice, and CRE Finance Council disclaims all liability for any such reliance. © 2022 CRE Finance Council. All rights reserved.
Meet CREFC’s GSE/Multifamily Lenders Forum Leaders
August 1, 2022
Together, Emily, Kate and Bill form the “Leadership Working Group” for CREFC’s GSE/Multifamily Lenders Forum. Importantly this group sets the agendas and priorities for the Forum, as well as represents their constituencies on CREFC’s Policy Committee

No content found

No content found

No content found

No content found

No content found

No content found

No content found

Sign Up for Forum

Sign Up
members only