Wells Fargo ended 2011 as the largest master and primary servicer of commercial and multifamily mortgages, with $437.7 billion, according to new data from the Mortgage Bankers Association (MBA). PNC Real Estate/Midland Loan Services came in second place with $355.1 billion, followed by Berkadia Commercial Mortgage LLC with $176.5 billion, Bank of America Merrill Lynch with $115.0 billion, and KeyBank Real Estate Capital with $108.2 billion.
Wells Fargo, PNC/Midland, Berkadia, Bank of America Merrill Lynch and KeyBank were last year's largest master and primary servicers of commercial/multifamily loans in U.S. commercial mortgage-backed securities, collateralized debt obligations and other asset-backed securities. PNC/Midland, MetLife, GEMSA Loan Services LP, Prudential Asset Resources and Northwestern Mutual were the largest servicers for life companies, while PNC/Midland, Wells Fargo, Deutsche Bank Commercial Real Estate, Berkadia and GEMSA Loan Services were the largest Fannie Mae and Freddie Mac servicers.
PNC/Midland ranked as the top master and primary servicer of commercial bank and savings institution loans; GEMSA was the top credit company, pension fund real estate investment trust and investment fund servicer; PNC/Midland was the top Federal Housing Administration and Ginnie Mae servicer; Wells Fargo was the top for loans held in warehouse facilities; and PNC/Midland was the top for other investor type loans.
A primary servicer is generally responsible for collecting loan payments from borrowers, performing property inspections and other property-related activities. A master servicer is typically responsible for collecting cash and data from primary servicers and then providing that cash and data, through trustees, to investors.