CMBS Loans Need Workouts 'More than Many Know'
In New Jersey, there are currently about 400 CMBS loans for properties that would have a hard time qualifying for refinancing.
From his home office in Brooklyn, commercial mortgage brokerage securities analyst Shlomo Chopp looks at CMBS loan statistics for New Jersey, and tells GlobeSt.com about some worrisome numbers:
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There are 248 loans on the servicers “watch list,” out of a total of 957 CMBS loans originated between 2005 and 2009.
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There are 68 more loans for which borrowers are more than 90 days behind on payments.
But that's not even the half of the problem, says Chopp, managing director of Case Property Services, a company specializing in CMBS loan workouts.
This is what he says is “particularly disturbing”: Right now 400 of the New Jersey CMBS loans are for properties that would have difficulty qualifying for a refinance.