First-loss piece buyers — also called B-piece buyers --  have historically also specially serviced these loans but today managing distressed commercial real estate loans is increasingly done by third party companies that aren’t holders of the CMBS loans, according to a Fitch Ratings report.  The new arrangement reduces conflicts that arise when the special servicer also holds a first loss position.  

Fitch expects continued interest in special servicer ratings and to a lesser degree primary servicer ratings in 2013.  Of the new servicers that Fitch rated in 2012, each has a different platform and market focus.

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