Commercial Mortgage Workout Strategy and Conditional Default Probability : Evidence from Special Serviced CMBS Loans

This study recognizes that commercial mortgage default is not a one-step process and examines a previously unexplored aspect in the whole default process, that is the stage between the initial delinquency and default. We distinguish the servicers' behavior from the borrowers' behavior. A multinomial logit model is applied to analyze the servicers' choice of… CONTINUE READING