Sector developments and company hires

CMBS DQ rate declined
The overall US CMBS delinquency rate dropped to 8.53% last month, while 25.78% of balances previously in grace became delinquent, according to S&P’s monthly tracker. All five sectors – industrial, office, multifamily, retail and lodging – saw declines month-on-month in their overall DQ rates. There were 290 newly delinquent loans (totaling US$6.4bn) in July, including 139 lodging loans (US$2.92bn), 96 retail loans (US$2.41bn), 11 office loans (US$272.03m), 18 multifamily loans (US$235.13m) and three industrial loans (US$11.4m).

Even though 25% of 30-day delinquent loans were resolved, a growing share (60%) of those that were 30-day delinquent last month have transitioned to becoming seriously delinquent in July. The July 2020 special servicing rate stands at 8.7% - 126bp higher than the June 2020 number of 7.44%.

North America
Natixis has appointed Michael Magner and Andy Taylor as the co-heads of real estate and hospitality Americas, based in New York. They will report locally to investment banking Americas co-heads Michael Moravec and Yoan Quere, and globally to real estate and hospitality global head Emmanuel Verhoosel.

Magner has over 30 years of experience in commercial real estate finance and most recently served as head of US origination for Natixis, responsible for the origination, structuring and underwriting of fixed and floating rate commercial loans for securitisation and syndication. Prior to joining Natixis in 2000, he held positions at Prime Capital Funding, CIBC, Smith Barney and Travelers Insurance.

Taylor has over 20 years of experience in CMBS trading and joined Natixis in 2019 as head of CMBS Americas. Prior to this, he was md and CMBS desk head at JPMorgan and in mortgage securities sales at Citi.