CRE

Sabey 2025-2 will feature a $24.8 million liquidity reserve among other credit enhancement mechanisms, including cash trap and early amortization triggers.

Borrowers are considered prime in this pool, but Fitch Ratings notes that delinquency rates have been increasing since 2022.

The pass-through certificates are supported by a full pool of amortizing loans, which have no interest-only periods.

A set of performance-related triggers—cash trapping and expense reserve—will help maintain cash flow to the notes.

Over 85% of the collateralized loan obligation's total dollar value will be comprised of apartment complexes and hospitality and industrial properties.

The fund closes ahead of separate news that it formed the Private Real Estate Credit platform, which will originate senior and subordinated commercial real estate loans.

Small-balance commercial mortgages, SBA 504 and investor loans, all first-lien, make up the collateral pool.

The rating agency covers its bases in preparation for a surge in data center debt

Deal production has been a bright spot, but delinquencies could soon reach record highs, especially for office CMBS.

Valley National Bank and Dime Community Bancshares expect a better balance of deposit costs to help boost their net interest margins in 2025.