Anyone who has driven from Los Angeles to Las Vegas has been on that remote stretch of straight, flat highway where the posted speed limit is more of guideline than a rule. You know you shouldn’t be speeding, but you do it anyway since all you can see for miles is a strip of asphalt slicing through the tumbleweed-choked desert.
CMBS special servicing has been much like a sports car on that remote stretch of highway since its inception. Special servicers with a first-loss position were behind the wheel of a car that was primarily paid for with other investors’ money, specifically the senior bondholders who have been relegated to being passengers on the journey…
READ FULL ARTICLE (Heartland Real Estate Business Article – feat. February 2013)