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.
The Wall Street Journal
Cantor and CIM Team Up to Originate Mortgages For Eventual Bond Sales
AUGUST 11, 2010
By Lingling Wei
Many traditional banks are still skittish about commercial-property lending. But other financial-services companies are stepping into the breach.
The latest example: Cantor Fitzgerald, best known for bond trading, is getting into the business of originating commercial mortgages. The New York-based firm has teamed up with CIM Group, a Los Angeles real-estate fund manager, to form a venture with the goal of making some $5 billion in commercial-property loans over the next 12 months with the intention of selling them off as bonds.
Anthony Orso, a former real-estate banker at Credit Suisse Group who joined Cantor about a year ago, says "the timing is perfect" for the firm to enter the business. Property values have started to stabilize after plunging more than 40% from the peak in 2007, limiting lenders' risks. And commercial real-estate debt is drawing interest from yield-hunting investors world-wide.
Demand for fresh funds is likely to be enormous. Already, financing challenges have contributed to a spike in loans being transferred to debt specialists responsible for dealing with soured loans. About 15% of outstanding commercial mortgages bundled into bonds, or about $110 billion, is expected to be in "special servicing" by year's end due to default or imminent default, according to a study to be released by Fitch Ratings on Wednesday.DOWNLOAD PDF