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.
National Mortgage News
Cantor and CIM Build New Platform for CRE Lending
August 16, 2010
Cantor Fitzgerald and CIM Group formed Cantor Commercial Real Estate, a real estate financing business that will originate competitively underwritten fixed- and floating-rate mortgages and mezzanine loans backed by diverse real estate assets, predominantly in urban communities in major U.S. markets. The newly formed firm will engage in securitizations of these loans.
Cantor and CIM will serve as co-general partners. The CCRE management team is led by Anthony Orso, executive managing director of Cantor Fitzgerald and chief executive officer of CCRE.
While more than $230 billion in CMBS were originated in the U.S. at the peak of the CMBS market in 2007, the aggregate supply of originations dramatically fell to an estimated $3 billion in 2009. CCRE believes the market is poised to become more active, as U.S. commercial property values begin to stabilize and as it is expected that borrowers will need to refinance approximately $1.4 trillion of commercial real estate debt maturing over the next four to five years.
"We have put together one of the pre-eminent real estate financing teams in the business," said Howard W. Lutnick, Cantor chairman and chief executive officer. "And with our partner, we have created an exciting new platform in the CMBS origination and structuring business, something that was traditionally kept in-house by Wall Street. It's a defining moment in commercial real estate lending."
"By partnering with CIM, an outstanding investor, we are creating an entirely new investment banking model in the commercial mortgage business and are initially targeting annualized loan production of approximately $5 billion," Orso said.
He added that the firms' strategic partnership with CIM Group will contribute to renewed liquidity for senior debt instruments, Orso added. "CCRE's powerful institutional sponsorship and capital base, combined with the strength of Cantor's fixed-income sales force and the depth of its borrower relationships, are the foundation of our capability to offer superior capital markets execution and a diverse distribution strategy," he said. "The fundamental quality of assets, credit quality of borrowers and high standards in loan structures will be the hallmark of our transactions as we make loans and launch securitizations."
Orso also said that current market conditions offer a considerable opportunity to build a vibrant role for CCRE in the commercial real estate financing marketplace.
In another commercial development, KDX Ventures, a joint venture between DebtX and KEMA Advisors, will sell $234 million in multifamily and health care loans for HUD.
The portfolio consists of 18 multifamily commercial real estate loans and three health care loans, ranging in size from $1 million to $44.3 million. The collateral is located in Arizona, Connecticut, Florida, Kentucky, Michigan, Minnesota, North Carolina, Ohio, Rhode Island and Washington, D.C.DOWNLOAD PDF