CMBS Introduction

The ongoing credit market disruption has led many bond investors to liquidate their portfolios at discounts and others to withhold buying activity. Consequently, spreads in many credit products, including CMBS, have widened substantially on thin trading or in sympathy with synthetic indices (CMBX), well beyond that necessary to reflect commercial real estate credit fundamentals.

The CMBS market has been painted with the same brush as other structured finance products. In strong contrast to US subprime product, however, the vast majority of commercial mortgages that collateralize CMBS have performed as expected. In fact, less than 2.5% of CMBS mortgages are currently delinquent. Fear, misperception, and a lack of liquidity have created a tremendous opportunity for sophisticated investors to uncover tremendous value.

Opin’s Edge: In depth issuer specific knowledge of underwriting parameters, which allows Opin’s CMBS team to take advantage of the current technical market dislocation in the safest CMBS securitizations and obtain the highest risk adjusted return all while focused on capital preservation.

Opin Partners, LLC Opin’s CMBS approach, as described herein, will be to use both our commercial real estate and capital markets expertise to conduct due diligence on the loans and real estate prior to purchase.

The contents of this website are intended for sophisticated and institutional investors or their advisors. Opin Partners, LLC is not registered with the SEC, FSA or any other government agency as an advisor or manager. Nothing contained in this website should be construed as investment advice or as a security or an offer to sell or purchase an interest in a security.

CMBS Levered Program | CMBS UnLevered Program