The six federal regulators charged with implementing the Dodd-Frank Act recently issued a revised proposal that weakens the risk retention requirements originally proposed by regulators in 2011.
While much of the new proposal concerns the single-family sector, it does include several provisions sought by NMHC/NAA and others to revive the commercial mortgage backed securities (CMBS) market.By providing certainty to CMBS market participants, the revised rules should result in increased debt capital, lower borrowing cost rates and improved mortgage servicing.