Monday, May 4, 2009

Monday Tidbits - May 4, 2009

Happy May, everyone! Swine flu scares notwithstanding, I'm looking forward to what is left of the spring.

Work is still busy, but I did find a few interesting things in the blogosphere and the internet that I'd like to share with you.

Still confused by defeasance? Don't worry, most people are. My first one was . If you really want to learn more, here's a primer you might find interesting (H/T Deal Junkie.)

Do you think we're gonna see some M&A activity in the REIT market? (Short answer: yes.)

"Banks are shortening the terms on lines of credit that have long been used by companies to avoid cash crunches -- a sign that while lending is reviving, businesses are facing new hurdles to obtaining credit."

More news on a "rising tide" of CMBS defaults according to Fitch this morning, including the number of loans going to special servicers. I wonder aloud whether some borrowers are just trying to get to special servicers for workouts or to get attention? But could that strategy backfire?

Many investors don't want to do distressed deals? This, of course, just means fewer bidders are cheaper prices if there is less competition from fewer vulture funds. It could also mean the reality of getting workable financing is, in a word, problematic.