Boston-based loan sale advisor DebtX said the continued deterioration of commercial real estate fundamentals caused prices on auctioned commercial loans to decline in March.
The aggregate value of commercial real estate (CRE) loans priced by DebtX that collateralize CMBS declined to 75.9 percent as of March 31, from 76.5 percent as of Feb. 26. Loan values are down from 81.2 percent as of March 31, 2009.
"Loan prices were negatively impacted by the upward shift in the Treasury yield curve and the continued deterioration of CRE fundamentals, despite improvements in the CRE capital markets," said DebtX CEO Kingsley Greenland.
In March, DebtX priced 59,401 CRE loans with an aggregate principal balance of $697 billion. These loans, which collateralize 623 U.S. CMBS trusts, received a DXMark, which is based on loan sales executed at DebtX.
