Page 35

CRE Finance World, Autumn 2013

A publication of Autumn issue 2013 sponsored by CRE Finance World Autumn 2013 33 Chart 5 Jurisdiction Breakdown of European CMBS Loan Maturities Excludes the loans in small loan transactions, nonperforming loan transactions, and commercial real estate collateralized debt obligations. *Includes loans denominated in British pound sterling, which are converted into euro. ¶Includes Belgium, Bulgaria, Czech Republic, Finland, Ireland, Italy, Poland, Spain, Sweden, and Switzerland. Chart 6 Sector Breakdown of European CMBS Loan Maturities Excludes the loans in small loan transactions, nonperforming loan transactions, and commercial real estate collateralized debt obligations. *Includes loans denominated in British pound sterling, which are converted into euro. ¶Includes industrial, mixed use, bank branch, distribution warehouse, DIY, hotel, leisure, and nursing home sectors. JAPAN CMBS Market Slows, Bank Lending Busy Japan’s CMBS market saw a high level of new issuance from 2005 to 2007, peaking in 2007 with ¥2.17 trillion in new CMBS issuance out of total securitizations of ¥8.42 trillion (25% of new structured finance issuance). New issuance of Japanese CMBS has been subdued since 2009, following the onset of the global financial crisis, and has yet to show signs of a recovery. For the six months ending June 30, Japanese CMBS new issuance was ¥31.4 billion, which was a little less than 2% of total Japanese securitizations for the first half of 2013 (see Chart 7). Chart 7 Japanese CMBS Issuance Source: Deutsche Securities Issuers of Japanese CMBS have been mainly international investment banks. Borrowers have been primarily opportunistic/value-add CRE funds — both international and domestic — that tended to hold assets for shorter terms (about three years). As a result, the tenor of the loans they borrowed were also shorter (three to five years) with prepayment options. CMBS Global Recovery Continues to Be Slow and Uneven


CRE Finance World, Autumn 2013
To see the actual publication please follow the link above