Despite weaker commercial real estate markets, commercial mortgage prices in the secondary market recently improved.
Loans included in commercial mortgage-backed securities were priced at 76.7 percent at the end of January, DebtX reported today. The findings were based on 59,759 CMBS loans for $700.2 billion from 627 securitizations priced by DebtX as of Jan. 29.
At the end of the prior month, CMBS loans were priced at 75.9 percent.
Still, the price was down from 81.3 percent in January 2009.
DebtX Chief Executive Officer Kingsley Greenland attributed the monthly improvement to a downward shift in the Treasury yield curve and tighter whole loan spreads.
He noted, however, that weak commercial real estate fundamentals partially offset the improvements.
DebtX said its valuations reflect actual secondary market sales of commercial mortgages traded on its platform.
