CMBS private label issuance continued at a healthy pace in September as 20 deals priced ($13.8 billion). For Q3, there were 54 deals ($33.1 billion), including 40 single- borrower (SB) ($24 billion), 13 conduit ($9 billion), and one small balance commercial (SC) ($165 million) deal. Through September on a year-to-date (YTD) year-over-year (YoY) comparison, issuance increased by 26.2%.
Historically, the fourth quarter is typically the year’s busiest quarter, and this year seems no different based on our current pipeline. Furthermore, with the Federal Reserve signaling that two more rate cuts could come by the end of 2025, on top of its first rate cut of 25 basis points (bps) in 2025, the market is poised for continued growth. However, if the government shutdown drags on, it could bring uncertainty and volatility to the markets, which could temper this momentum. Based on our current visibility, up to 20 deals could launch in October, including 10 SB, six conduit, three commercial…