CMBS

JP Morgan and Barclays are marketing $1 billion of commercial mortgage bonds backed by a pool of highly leveraged loans that is highly concentrated in a few large properties in New York City.

American International Group is expanding bets on property lending and safe fixed-income securities after hedge-fund investments soured.

Citigroup, German American Capital Corp. and Wells Fargo are marketing $765 million in commercial mortgage bonds associated with the mortgage the three originated for lower Manhattan’s 225 Liberty Street skyscraper.

The forthcoming $875.1 million Wells Fargo commercial mortgage pass-through certificates securitization pools a smaller concentration of larger loans but also has more exposure to single-tenant properties.

Morgan Stanley Bank of America Merrill Lynch Trust 2016-C28 is backed by 42 fixed-rate loans with a total balance of $955 million that are secured by 161 commercial and multifamily properties.

Bankers are defending the industry's aggressive push into commercial real estate despite regulators' warnings about the growing risk — and the potential for losses — in that sector.

With only $16 billion in issuance in January, the market for new securitizations fell by $2 billion from December and is less than half of the new structured finance supply from January 2015.

Citigroup is readying $1.2 billion of commercial mortgage bonds backed by 58 loans secured by 104 properties, according to rating agency reports.

The Department of Housing and Urban Development is reducing the mortgage insurance premiums it charges on Federal Housing Administration multifamily loans to encourage the renovation of affordable housing units and promote energy-efficient upgrades.

Commercial mortgage securitization may be off to a slow start, but one of the first conduit deals of the year has one of the main hallmarks of 2015: credit barbelling.