DAILY READS: Feb. 4, 2020

By the Editors of Commercial Property Executive

February 4, 2020

Deutsche Bank's big hotel loan. The economic impact of climate change. What will Simon and partners pay for Forever 21? Here's a batch of other critical content for you to read, listen to or watch.

Deutsche Bank Provides $684M Refi on Clarion Marriott Hotel Portfolio

“The five-year, interest-only first mortgage pays interest to Deutsche Bank at a fixed rate of just over 3.5 percent, according to information from DBRS Morningstar, which analyzed the deal. The 52 Courtyard by Marriott, select-service hotels that make up the portfolio collateral comprise 7,677 rooms spread across 25 states. Marriott International manages and operates the assets.”
—Commercial Observer

Video—Mortgage Rates Around 3% Will Get Buyers Out: Economist

“CNBC’s ‘Power Lunch’ discusses the latest in housing with Mark Zandi, chief economist at Moody’s Analytics.”
—CNBC

Bankrupt Forever 21 Reaches $81M Sale Deal with its Biggest Landlords

“The consortium—composed of Simon Property Group, Brookfield and licensing firm Authentic Brands Group —would get Forever 21’s remaining stores, brands and most of its other assets under the deal, which was revealed in a Sunday court filing.”
—New York Post

The ‘Superbond’ Cooling the World’s Hottest Real Estate Market

“Dubbed the ‘superbond,’ an initiative by Hungary’s government is taking the edge off the world’s hottest property market. The state-backed debt instrument, officially called MAP+, pays out an average of almost 5 percent a year and was rolled out to trim a reliance on foreign creditors who’ve exacerbated past crises by fleeing at the first sign of economic strife.”
—Bloomberg

How Chicago’s Vacant Sears Stores Are Being Reborn as New Neighborhood Hubs

“The decade-long decline of the Sears brand from 3,500 stores to less than 200 locations has not only reshaped the larger American retail landscape, but also affected the individual communities that the troubled department store chain had once anchored. For some Chicago developers, the situation presents unique opportunities for mixed-use revitalization.”
—Curbed

6 Senior Living Providers to Watch in 2020

“Senior living is not lacking for companies pushing themselves—and the industry—forward in order to meet the growing and changing needs of its current and future crops of residents. Still others are working overtime to surmount current challenges, and might increasingly be realizing that to do so, they can’t go back to what worked yesterday but must create new ways of doing business.”
—Senior Housing News

CMBS Loans Face Few Refinance Hurdles

“A total of $109.6 billion of CMBS mortgages are up for refinancing over the next two years, with $57.6 billion coming due in 2020 and $52 billion the following year. Single-asset, single-borrower CMBS transactions represent 66 percent of this total, while conduit loans account for 29 percent. These are two of the largest deal types in CMBS.”
—REBusiness Online

Looking Beyond Physical Effects to Measure Total Risk from Climate Change

“With climate change increasingly accepted as a legitimate peril, real estate values are exposed to both transition and physical risks. Buildings, for instance, are estimated to account for roughly 40 percent of global greenhouse gas emissions. Should policy-makers seek to move to a 1.5-degree world, there will be massive changes in the world’s energy system and in energy efficiency requirements, which would necessarily be reflected in increased building operating costs.”
—Urban Land Magazine