Prices of loans underlying commercial mortgage-backed securities were on the rise in January, according to DebtX.
Debtx priced $878 billion in commercial real estate loans that collateralized U.S. CMBS trusts through the end of January. Those loans rose in price to 99.2% from 97.6% at the end of December. That compared with 99.7% in January last year.
"Widening spreads in January were offset by a downward shift in Treasury yield curve," Will Mercer, managing director of DebtX, said in a news release. "We also saw an overall improvement status, as fewer loans were classified as subperforming during the month."
The median adjusted loan-to-value decreased to 57% from 58% in December, while the median debt service coverage ratio remained at 1.47. The median estimated loan yield decreased slightly to 4.4%.
