A Review of the Current State of the UK CMBS Market (February 2011)
Commercial mortgage backed securities (CMBS). In the UK CMBS represents 18% of real estate debt, compared to 45% in the US. The paper reviews CMBS from a historical perspective and assesses how UK CMBSs have performed. The rise in loan-to-value ratios since 2007 has made the refinancing of CMBS more challenging. The paper reviews issues for the market including a changing regulatory environment, and assesses the future of securitised mortgages.