S&P Eyes NorthMarq, LMRES Servicer Rankings

The commercial mortgage primary servicer rankings of NorthMarq Capital Inc. and Legg Mason Real Estate Services Inc. have been placed on CreditWatch with negative implications by Standard & Poor's Ratings Services.S&P said the actions were based on the recent announcement that the Minneapolis-based NorthMarq is acquiring the commercial mortgage banking and mortgage servicing operations of the Baltimore-based LMRES. "Throughout the pre-closing and post-acquisition transition periods, Standard & Poor's will be assessing the progress and efficacy of NorthMarq's integration plan, particularly as it relates to converting systems, recasting the organizational structure, and blending procedures to ensure the maintenance of quality and efficiency," the rating agency said. Both NorthMarq and LMRES are currently ranked Above Average as commercial mortgage primary servicers by S&P.