The biggest servicer of commercial real estate loans is losing ground to its rivals. The top-five ranking for securitized commercial mortgage servicers was identical to the overall ranking. One company has the agency market locked up.
With 36,704 CRE loans serviced for $430.548 billion, Wells Fargo & Co. was the biggest commercial mortgage servicer as of June 30. The San Francisco-based company’s portfolio was down from 38,132 loans for $437.675 billion as of Dec. 31, 2011, and 39,613 loans serviced for $442.9 billion a year earlier.
Included in Wells Fargo’s servicing portfolio were 25,696 mortgages for $350.304 billion that were included in commercial mortgage-backed securities, collateralized-debt obligations or other asset-backed securities — making it the biggest servicer of securitized CRE loans.
The rankings were published by the Mortgage Bankers Association in its Commercial/Multifamily Mortgage Servicer Rankings – Mid-Year 2012. The report included primary and master servicing portfolio statistics on 102 commercial mortgage servicers.
The second-biggest overall CRE servicer was PNC Real Estate / Midland Loan Services, which serviced 97,051 loans for $357.034 billion. PNC’s portfolio finished last year at 84,275 loans for $355.055 billion.
PNC’s portfolio included 10,835 securitized loans for $118.028 billion — the second-biggest in the securitized category. The Pittsburgh-based bank, however, was the biggest servicer of CRE loans for commercial banks and savings institutions with a portfolio of 71,877 loans for $73.830 billion.
Berkadia Commercial Mortgage LLC serviced 26,967 loans for $206.590 billion, landing it in third position overall. Berkadia’s portfolio increased from 23,863 mortgages serviced for $176,489 billion at the end of December. The securitized portion of Berkadia’s portfolio amounted to 11,329 loans for $92.827 billion, making it No. 3 in the category.
At Bank of America Merrill Lynch, the overall CRE servicing portfolio was 9,494 mortgages for $110.062 billion, making it the fourth-biggest servicer. BofA’s portfolio included 4,446 securitized loans for $77.612 billion, landing it in the No. 4 position among servicers of securitized commercial mortgages. Its portfolio of CRE loans serviced for commercial banks and savings institutions was 2,786 loans for $2.512 billion, No. 5 in that category.
No. 5 overall was KeyBank Real Estate Capital, where the CRE servicing portfolio finished June at 11,141 loans for $100.069 billion. KeyBank’s securitized servicing portfolio was the fifth-biggest at 7,754 loans for $71.116 billion, while its servicing portfolio for banks and thrifts was the third-biggest at 2,484 loans for $17.331 billion.
Among CRE loan servicers for financial institutions, TriMont Real Estate Advisors was the second-biggest with a portfolio of 777 loans for $19.048 billion.
HSBC Bank USA, N.A.’s, portfolio of commercial mortgages serviced for commercial banks and savings institutions was 765 units for $6.787 billion — No. 4 in that category.
GEMSA Loan Services, L.P., serviced 3,359 CRE loans for $29.633 billion for credit companies, pension funds, real estate investment trusts and investment funds — more than any other company. BofA was No. 2 at 272 loans serviced for $21,718 billion, then 4,299 loans serviced for $17.929 billion at PNC, 824 loans serviced for $7.259 billion at TriMont and 488 units for $5.250 billion at C-111 Asset Management LLC.
PNC was the biggest servicer for Fannie Mae and Freddie Mac with 5,804 loans serviced for $57.311 billion. Wells Fargo followed with 6,953 loans for $44.156 billion, then Berkadia, Berkeley Point Capital LLC and GEMSA.
PNC also ranked as the biggest servicer for Federal Housing Administration and Ginnie Mae loans with 1,856 loans serviced for $10.883 billion. No. 2 was Prudential Asset Resources, then Berkadia, Wells Fargo and Red Mortgage Capital LLC.
Among servicers for life insurance companies, MetLife led with a servicing portfolio of 740 loans for $36.727 billion. After that was PNC, followed by GEMSA, Prudential and Northwestern Mutual.
In the category of “loans held in warehouse,” Wells Fargo led with a portfolio of 1,326 loans serviced for $25.470 billion. PNC followed, then KeyBank, BofA and Berkadia.
LNR Partners Inc. was the biggest special servicer of CRE loans with a portfolio of 12,591 loans for $166.6 billion.
