Summer Regulatory Summit eBook

NONCONFIDENTIAL // EXTERNAL

Click to edit Master title style Secondary Title Example: Increasing Cap Rate Effects of Loan-to-Value

Avg. Cap Rate Original LTV Cap Rate +100bps Cap Rate + 200bps

CMBS

7.00% 65.1% 6.90% 74.2% 6.50% 68.6%

74.4% 85.0% 79.2%

83.7% 95.7% 89.7%

CLO

Regional/Local Bank

Source: MSCI; Center for Real Estate Excellence/Federal Reserve Bank of Atlanta