6-Hour Program

See Credit Details Below

Overview

Why You Should Attend

Between now and 2018, over $200 billion of commercial conduit loans will mature and will need to be refinanced.  After the robust issuance of $101 billion of CMBS in 2015, the general expectation was that further growth in the origination of commercial mortgages for, and issuance of, CMBS in 2016 would easily handle the wave of maturities of conduit loans originated in 2006 and 2007.  Unfortunately, the uncertainty occasioned by general volatility of the capital markets for fixed income early in 2016 disrupted the CMBS market and precipitated a significant decline in the origination of loans for securitization.  Notwithstanding the increased appetite of commercial and community banks for commercial real estate mortgages in their search for yield and the continuing entry of additional private equity funds into the primary mortgage market, the recent exit of several commercial conduit originators and the falloff in originations by the remaining conduits have jeopardized the potential for refinancing of CMBS loans by CMBS lenders.  Together with the federal banking regulators' expressed concerns about unrelenting growth of commercial real estate lending by banks as well as the size of their mortgage portfolios, and the limited investment allocation of insurance companies to mortgages would suggest that CMBS will continue to be an important participant if the refinancing needs of the commercial real estate industry are to be properly met.  To assure sufficient capital and liquidity to commercial real estate markets, CMBS will have to continue as a viable source of financing even as it changes for regulatory or market reasons.

What You Will Learn

  • An overview of marketplace economics
  • How a CMBS bond is structured
  • Basic types of securitization structures
  • The new Risk Retention Requirements – Horizontal vs Vertical Retention
  • Impact of new Risk Retention rules in real estate finance 
  • Securitized vs. portfolio loans: a comparison of the risks and rewards
  • REMIC limitations on CMBS loans
  • Essential deal points for lenders, borrowers and guarantors
  • Mezzanine and other subordinate debt
  • Guarantors and non-recourse carve-outs
  • Intercreditor and other co-lender agreements
  • Issues borrowers' confront in CMBS servicing and workouts

Special Features

  • Earn one full hour of Ethics credit
  • Time is reserved throughout the program to address written questions submitted by the registrant
  • Presented by CMBS industry leaders - business and legal, credit rating agency personnel and a REMIC tax expert

Credit Offered

CLE, CPE and CPD

Who Should Attend

Anyone representing lenders, borrowers, servicers, commercial property developers, owners, landlords, tenants, trustees, issuers and underwriters, as well as analysts, bankers, executives and other professionals who have to understand the world of commercial real estate finance in the capital markets.

Credit Details