CMBS

The $278.3 million RCMF 2018-FL2 also has unusually heavy exposure to apartment buildings, offices and industrial properties that are either vacant or have low occupancy levels, according to Kroll Bond Rating Agency.

QSuper Board, an Australian pension fund, is tapping the commercial mortgage bond market to help finance a portion of a 52-story office building on Manhattan’s Upper West Side.

All five – Plaza West Covina Mall (Calif.), Franklin Park Mall (Ohio), Parkway Plaza (Calif.), Capital Mall (Wash.), and Great Northern Mall (Ohio) – were built in the 1970s and have JCPenney or Sears as a major tenant.

Fitch Ratings, which has only rated two other CRE CLOs over the past three years, joins Moody's Investors Service and Kroll Bond Rating Agency on the $514.2 million transaction.

Blame the decline in the oil and gas industry; many 2014 vintage deals have exposure to a number of multifamily and hotel properties in North Dakota and Texas, according to Fitch.

The biggest decline was in the delinquency rates for offices and retail, but late payments on multifamily and industrial CMBS loans increased.

Blackstone originally included 21 of the 23 properties as collateral for a $2 billion loan issuance and securitization in 2016 to partially fund its $8.8B BioMed Realty buyout.

The investment firm obtained $430 million of financing on its leasehold interests in 355,000 square feet of retail and office space, but it just lost its one office tenant, Amtrak.

Test your knowledge of the secondary mortgage market with this quiz of key industry abbreviations.

Two of the loans, or 10% of the $730 million of collateral, are secured by buildings that derive considerable income from parking, which Kroll Bond Rating Agency warns can fluctuate.