As long term, non-recourse permanent loan borrowers seek to replicate debt structures similar to what historically has been provided by Wall Street Conduits, several capital providers have stepped in to partially fill the void created by the current conduit restructuring. Several Wall Street originators are utilizing their balance sheets for five and 10 year fixed rate terms on stabilized assets to 70% of current value. Certainty of execution as applied for is supported by the lender balance sheet. All loans are being underwritten and papered to CMBS standards to allow for future securitization once the market volatility subsides.
