The ratings service’s research found that the CMBS new issuance instead focused on certain loans that show stable performance and strong fundamentals
James Belchamber, credit analyst at Standard and Poor’s, said: "These newly issued transactions have mainly concentrated on loans that have low leverage levels, strong underlying assets and granular cash flows.
"Our study also found that among asset types the German multifamily housing segment has performed well as these loans tend to exhibit the aforementioned characteristics, outpacing other asset classes in terms of repayment.
Belchamber added: "We therefore believe that new issuance CMBS as a form of refinancing in the near term is likely to be limited for the majority of our existing CMBS universe.
“This group will likely continue to look to traditional bank financing in order to repay or refinance at maturity or rely on servicing to maximise recoveries for noteholders."
