Community banks – long touted as the “next domino to fall” during this late unpleasantness – were expected to be a significant source of distressed assets for savvy investors. However, many are finding the FDIC Structured Loan Sale Program a long and bumpy road for investment. Historically, the FDIC operated to separate the wheat (failed … Continue Reading
Notwithstanding our optimism, it appears that there was not enough support from the Senate side of the reconciliation committee to include the proposed covered bond amendment in the final financial reform bill approved by the reconciliation committee. However, the support received by the House and some members of the Senate committee indicates that covered bond … Continue Reading
Earlier this week, Representative Scott Garrett (R-NJ) introduced an amendment to the proposed financial reform legislation that will establish a regulatory framework for a covered bond market in the United States. The House side of the reconciliation committee quickly passed the measure – the Senate side is now considering it. This development is welcomed news … Continue Reading
The Senate reconvened reconciliation hearings at noon today with a deal brokered yesterday to place the new financial watchdog agency within the auspices of the Federal Reserve, rather than establishing an independent agency. This compromise by Congressional Democrats – which is engendering strong opposition from some important constituencies – could indicate a growing desperation to get … Continue Reading
According to the Boston Globe, the owners of Boston’s signature office building – the John Hancock Tower – have begun marketing a significant stake in the building. Many will remember that the Hancock Tower represented one of the Great Recession’s first large-scale mezzanine foreclosures, falling in late 2008/early 2009 when a joint venture comprised of … Continue Reading
FASB wants to expand Fair Value to other financial assets. That bears repeating: FASB has published an Exposure Draft that would extend the dubious joys of fair value accounting to ALL financial assets. I so wish I was making this up. On May 26, 2010, FASB published this missive. Fair Value seems to hold a … Continue Reading
Do you have any idea how often each of the House and Senate reform bills proposes to solve an intractably complex problem by simply asking the regulators to come up with rules? I don’t, but I found at least 20. Now it all goes to reconciliation, and my suspicion is that that number will not … Continue Reading
We’ve been promised that the House and Senate financial reform bills will be reconciled in a highly transparent and thoughtful way and be wrapped up and ready for the President’s signature by Independence Day. I’m trying to be upbeat about this. There are, after all, substantial benefits to be obtained from certainty, and once this … Continue Reading
I write from CREFC’s annual do with my 800 or so best friends. We are trying to party like it’s not 2009, and you know, we’re getting there. The government’s still playing pin the tail on the regulatory donkey, Europe’s a mess, housing and employment are not ready for prime time, and the banking system … Continue Reading
This article was published by Matthew T. Clark and Stewart McQueen. For 150 attendees, Day 1 of the 2010 CREFC Annual Convention ended with dinner hosted by Dechert at Shelly’s Trattoria in Midtown. We thought the turnout was exceptional, and it was great to be able to socialize and dine with so many of our … Continue Reading
This article was published by Matthew T. Clark and Stewart McQueen. The 2010 CREFC Annual Convention has begun in earnest. Day 1 began for many attendees with a meeting of the Securities and Loan Investors Forum. This meeting included a lengthy discussion of the Fair Value Purchase Option and a perceived conflict of interest existing when … Continue Reading
Last Friday I moderated a panel at the 11th Annual IMN Real Estate Opportunity and Private Investment Forum in New York. The two-day event consisted of about 40 separate concurrent panels and drew over 800 industry participants. The topics covered revolved around distressed debt investing – loan workouts, exit strategies, tranche warfare and distressed asset … Continue Reading
We’re looking forward to the 2010 June Convention of the Commercial Real Estate Finance Council (formerly the Commercial Mortgage Securities Association) next week at the Waldorf-Astoria in New York City. From June 14th to 16th, over 700 lenders, borrowers, investors, fund managers, servicers, attorneys, and other industry participants will gather to discuss current topics in … Continue Reading
There’s a headline to grab attention. It’s been reported that several Chinese and other non-domestic and non-traditional lenders are rushing across the American landscape looking for deals. Take a look at the WSJ article of June 2 about the International & Commercial Bank of China’s recent loan to GE. ICBC has over a trillion dollars of assets, it’s … Continue Reading