The first several months of 2016 saw a lot of pricing and execution uncertainty in the CMBS/Conduit space. Some lenders left or de-emphasized the space, while others developed difficult reputations and saw a decline in their deal flows.
At this time, however, there remains a significant group of lenders that can predictably execute a deal, even in secondary and tertiary locations, with aggressive rates and leverage rates. A lot of them either have direct control over the B note process, or a detailed knowledge of the securitization market. The field remains highly competitive, but requires rigorous comparative shopping and deal closing process.
In this context, there is reason to hire a broker to both run the process and to bring the broker's experience in the market to your advantage. Each conduit lender has the ability to tailor the pricing based on the level of performance their firm's loans have shown in the market, their relationship with B tranche buyers, composition of their book of loans, and many other factors.
In addition, the conduit lender has the ability to take less profit on any individual and/or shift profit expectation onto some loans while losing money on others. Furthermore, there are standout firms in certain niches, i.e. large loans, small loans, trophy properties, secondary markets, etc.
Last, but highly relevant, is the nature of the B piece and/or mezz capability of the lender, and whether they have a balance sheet for temporary or permanent holding of a mezz/B position. Most CMBS lenders appreciate a broker running the show, and you often benefit with tighter overall pricing and terms and better execution.