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Corporate real estate (CRE) is the real property that a company owns or holds for the purposes of housing its operations.
CMBS loans typically offer fixed-rate terms between 5 - 10 years, with amortizations between 25 - 30 years. At the terms end, a balloon payment is usually paid, or the loan is refinanced.
CMBS lenders are essentially wholesalers, benefitting from what the retail industry would call a bulk discount. They originate loans at a certain interest rate, then sell them later at a different interest rate thanks to the bulk package they provide through their bonds.
In commercial real estate, loan origination typically includes each step of the lending process, from initial application to disbursement of funds.
A CMBS loan, also known as a conduit loan, is a type of real estate loan thats secured by a first position mortgage on a commercial property. CMBS loans are typically offered by commercial banks, conduit lenders, or investment banks, and, once they are issued, they are packaged and sold to other investors.
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A commercial mortgage-backed security (CMBS) is a type of security backed by a bundle of commercial real estate loans.As borrowers make payments, the money is used to repay investors of the CMBS. Collateralized Loan Obligation (CLO) Structure, Benefits, and Risks.
The major disadvantages of CMBS loans include: Less autonomy in the operation of the property and limited flexibility to deviate from the terms of the loan documents. Difficulty in releasing collateral. Expensive to exit.

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