The Impact of COVID-19 on CRE Valuations, the Next Wave of Delinquencies, New CMBS Issuance

We welcome Lonnie Hendry, VP of CRE Product Management at Trepp, to examine the impact of COVID-19 on CRE property valuations. We also discuss fresh servicer data that shows increases in hotel and retail delinquencies, new CMBS issuance and what it means for the market, commercial mortgage investment returns for life insurance companies, and revisions to the TALF program to include a broader range of leveraged loans. Episode Notes: New CMBS issuance and what it means for the market (2:12) More store closures and what happens next (4:31) Fresh data on hotel and retail loan delinquencies (9:00) What impact does this market dislocation have on CRE property values? (16:23) Looking at the drop in commercial mortgage returns for life insurance companies (29:59) How much will the TALF program revisions help the leveraged loan market? (32:22) The outlook for college football (and more importantly, student housing) this fall (35:53)