Midland Loan Services Inc., one of the largest servicers of commercial mortgage-backed securities, settled its lawsuit filed by Kansas City Southern Industries Inc. for $55 million. The suit alleged Midland underpaid Kansas City Southern when it bought the stake in Midland that Kansas City Southern owned. Midland was then sold to PNC Bank Corp., in which Kansas City Southern said it should have received $175 million in that deal, had Midland not persuaded the company to sell.
CDPQ Mortgage of Montreal has completed Canada's second public CMBS floating-rate deal, totaling $235 million. It includes three loans on three shopping centers throughout the province of Quebec, all managed by Ivanhoe, one of Canada's largest property management and investment companies. The underwriters were Merrill Lynch Canada and Scotia Capital, and Montreal Trust will act as trustee.