CCRE is led by an experienced team of real estate professionals, the majority of whom have worked together in the past. CCRE's Senior Managers have extensive track records originating, underwriting, structuring, managing and securitizing commercial real estate loans in various economic cycles.
Crain's New York Business
Cantor's First CMBS Deal a 1-Firm Show
May 5, 2011
By Marine Cole
Cantor Fitzgerald & Co. announced this week that it had recently completed its first loan securitization since entering the commercial mortgage-backed security market less than two years ago.
The deal consisted of $634.5 million in commercial mortgage pass-through securities, which are backed by loans originated by Cantor Fitzgerald Real Estate. All told, there are 38 fixed-rate mortgages secured by 67 properties in the pool. Those properties are spread over 22 states, but most are in Texas and New York. Office properties account for 44% of the total and multifamily for 22%.
Cantor wore many hats in the deal, originating the loans, securitizing them and lead-managing the transaction, in what amounts to a rare performance in the commercial mortgage-backed securities market. J.P. Morgan Chase & Co. is another firm that has securitized its own loans this year. Most other issues, however, have involved several firms working in concert.
Cantor Fitzgerald will be issuing more CMBS later this year, according to Anthony Orso, chief executive of Cantor Commercial Real Estate, who joined in September 2009, and was previously at Credit Suisse, where he had headed its CMBS group. "We believe we have another few securitizations we'll do by the end of the year."
Cantor Fitzgerald began building its CMBS platform nearly a year ago, raising capital and building infrastructures in the second half of 2010. The firm made its first loan toward the end of 2010.
"We decided to build a national operation," said Mr. Orso. He added that the firm also has offices in Atlanta, Washington D.C., Chicago, Dallas, Los Angeles and partner companies in Seattle and Miami that also originate loans for CCRE.
Buyers of the Cantor CMBS were mostly U.S.-based middle-market institutional investors. To market the securities the firm, which is best known as a large bond-trading outfit, turned to its well-oiled fixed-income sales group.
"We had many buyers of our bonds who were first-time buyers of CMBS products," Mr. Orso said.
The CMBS market is coming back strongly this year. To date this year $8.6 billion worth of such securities have been issued. That compares with $11 billion sold in all of last year, a total which was a tiny fraction of sales in the peak year of 2007.DOWNLOAD PDF