Partner, Cadwalader Wickersham & Taft, London
Several factors point to attractive conditions for the growth of a European CRE CDO market. The European CMBS market has seen rapid growth in issuance, with over EUR40bn in 2005, and 2006 has already exceeded that level. The number of investors in B notes (the junior portions of CRE loans) has increased rapidly, including several large US real-estate investors.
CRE CDOs can provide a reliable long-term means for real-estate lenders to l