RICHMOND, VA—Second-quarter total returns for private-market loans in investor portfolios, as tracked by the Giliberto-Levy Commercial Mortgage Performance Index, came in ahead of those for Q1 and also beat quarterly returns on CMBS, according to data released Tuesday by John B. Levy & Co. The latest G-L Index shows a 2.11% total return for Q2. That compares to a total return of 2.01 in the first three months of this year.
“Multiple factors came into play to drive commercial mortgage investment returns in the second quarter,” says John B. Levy, co-creator of the index. “Differences in Treasury yields, a decrease in term premiums for shorter mortgages and the continued decline in credit spreads” all had a bearing on the G-L Index's Q2 results.
The quarterly income return for Q2 was 1.11%, while capital value produced 1.01%, consisting of a 1.05% price return and a -0.04% contribution from other factors. Year-to-date, total returns are 4.16%, marking a strong first half to the current year.
Recommended For You
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Paul Bubny
Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.
