Fitch: Slowing Trend in CMBS Defeasance

Commercial mortgage-backed securities defeasance volume soared during late 2021 and into January, but that trend could be ending, said Fitch Ratings, New York.

CMBS Defeasance Snaps Back

Kroll Bond Rating Agency, New York, reported commercial mortgage-backed securities defeasance volume rebounded strongly last year after falling by nearly half in 2020.

Low Rates Driving CMBS Defeasance Trend

Fitch Ratings, New York, said commercial mortgage-backed securities borrowers are taking advantage of the current low interest rate environment to defease their loans.