Login
ISCOVER
The Australian commercial mortgage backed securities (CMBS) market has successfully refinanced all 2009 year-to-date maturities totaling $2.8 billion, and has seen a re-opening of the market with the first new issuance of CMBS after a two year hiatus.
Fitch Property rating’s director David Carroll said the significant refinancing task identified for CMBS during 2009 appears to have been successfully managed by issuers.
To continue reading the rest of this article, please log in.
Looking for more benefits? Become a Premium Member.
Create free account to get unlimited news articles and more!
Looking for more benefits? Become a Premium Member.
“Issuers continue to seek greater funding diversification and are hoping the market's re-opening during 2009 will provide an additional source of liquidity for CMBS refinancing during 2010," he said.
According to Mr Carroll, cash-flows have remained generally strong due to high occupancy levels and low tenant defaults.
Asset values continue to be negatively impacted by expanding capitalisation rates. However, in most CMBS cases the value of the cross collateralized asset pools remains higher than the value at origination.
