06/13/2005 Issue

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CMBS Watch: TRIA Extends Reach into New Areas
By Erika Morphy

Representatives from and of the real estate industry have been ticking off the reasons why the possible sunset of the Terrorism Risk Insurance Act at the end of this year would be detrimental to the industry. Indeed, the looming specter of a post-TRIA environment has been finding its way into issues not directly related to terrorism coverage. The latest example? Moody's Investors Service reports it has noticed a trend within a number of recent CMBS deals where caps were placed on the amount of insurance premiums the borrower would pay.


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