CMBS Under Stress: Frequently Asked Questions About Key Provisions in CMBS Pooling and Servicing Agreements Addressing Mortgage Loan Modifications

June 05, 2009
The ongoing crisis in the credit markets and the continuing deterioration of commercial real estate have significantly increased the number of distressed commercial real estate loans. In this environment it is critical for investors in commercial mortgage-backed securities to have a clear understanding of the pooling and servicing agreements for CMBS. This update addresses frequently asked questions about key provisions in PSAs that govern modifications of commercial mortgage loans by CMBS servicers with a focus on distressed commercial mortgage loans.