Defeasance Calculator

When deciding to prepay your fixed-rate CMBS debt, whether through yield maintenance or defeasance, most borrowers have questions. Chatham routinely supports the majority of principal balance, including the largest individual loans, defeased in a given year. View Chatham's list of yield...

Successor borrower rights are a material defeasance consideration, not just at the time of defeasance but at loan origination as well. This provision is often negotiable at loan origination and can play out in a variety of ways at execution. Chatham routinely supports the majority of principal...

The intent of this piece is to bring awareness to some defeasance pitfalls, and return leverage to the hands of borrowers.

The purpose of this report is to present changes in lending markets across key property types for use in marking debt to market for financial reporting. The Chatham fixed- and floating-rate indices for each property type represent how coupon rates and spreads have changed. For the second quarter...

The forward curve serves as a baseline projection of future interest rates to support investment analysis. Borrowers can use it to evaluate potential costs and returns on investments. While not a precise forecast, forward curves can help borrowers identify potentially advantageous times to...

FX hedging costs vary across currency pairs. “Cost” from a certain direction of capital flow is in fact a “gain” in the opposite direction.

Although it was a short trading week due to the Fourth of July holiday, there was no shortage of economic data and news. President Trump was able to garner support for the “One big, beautiful bill” and sign the tax and spending bill into law by his self-imposed July 4 deadline. He also continued...

Credit spreads shown are averages based on market rate conclusions for independent debt valuations conducted as of June 30, 2025. The market spread for an individual loan may vary based on property and loan characteristics, including, but not limited to, location, tenant profile, cash flow, and...