Default ratios are up 100% from last year. The questions will be: Where will that sit, what's going to happen and how are these things going to be moved through the system? For those of you trying to place money, there's a lot of competition out there. Looking at the maturities, in the past four years, we have had $4 billion. It's going to obviously grow. There is a tremendous amount of loans in the office sector. Servicers are getting much more adept at getting things done faster. There is a large amount of deals looking to get financing. The cost of capital today is very expensive. Certain deals warrant these and certain ones don't. There are going to be a lot of transactions out there that probably aren't worth it for the borrowers.

Check out Kline's CMBS restructuring webinar at http://www.globest.com/webinars/webinars/national/-323403.html

What is going on in the hotel industry right now?

The pulse of the hospitality industry quickened this year as was evident in Atlanta at the Asian American Hotel Owners Association 2012 convention. Attendees were eager to shake off the economic doldrums. The talk of capital improvements and ground-up developments was more prevalent, especially among the second generation of Indian hoteliers intent on furthering the legacy of the first generation. Lenders and savvy hoteliers are using these services, such as progress monitoring inspection and funds control, as a lowcost and proactive alternative to a payment and performance bond. Inquiries regarding Property Condition Assessment services were also on the uptick as many hotel assets have been starved of important capital improvements since the recession hit. Top of mind were deferred maintenance items and reserves for HVAC and roof systems, life safety issues and ensuring ADA compliance.

Check out Partner's Science of Real Estate blog at www.globest.com/blogs/buildingsciences