BOSTON-A recent release from DebtX highlighted the fact that commercial real estate loans have gone up again, in keeping in line with a seven month long trend. This quote from company CEO Kingsley Greenland expresses this trend: “commercial real estate loan prices rose for a seventh straight month in June and have continued the upward trend of the past 15 months.”
According to the company, the composite value of commercial real estate loans priced by DebtX that were secured via CMBS increased to 88.4% as of June 30, 2012. Compare this to the same time last year; loan values were 84.9%.
As prices in the marketplace have increased, this has encouraged more sellers to “take advantage of” liquidity, according to Greenland. He has observed the “strong” investor demand and, according to DebtX, deems it a good time to sell.
In June, 54,946 commercial real estate loans that collaterized 742 CMBS trusts were priced by the loan advisor. The total of these loans hit a whopping $766.1 billion balance.
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