Commercial Property Financing

Abstract

Following the start of the financial crisis in 2007 capital markets worldwide were in shock. While initially only markets in the United States were affected, during the summer of 2007 the European securitization market, was also stricken. Even though there were no real estate bubbles in Germany compared to most European and US markets, it took more than 5 years until the market for commercial real estate finance recovered and reached pre-crisis volumes and terms in 2014. This chapter shows the differences between Mortgage Pfandbrief and securitization through the issuance of CMBS, analyses market developments during the last few years including the Loan Sales Market and provides a short introduction to real estate finance.