(Updates with expected rating in second paragraph.)
Dec. 12 (Bloomberg) -- Deutsche Bank AG is marketing $191.3 million of bonds tied to a commercial property loan, according to data compiled by Bloomberg.
The debt is backed by mortgages on malls in Gainesville, Florida, and Omaha, Nebraska, Bloomberg data show. The securities, of which $114.6 million are expected to be rated AAA by Moody’s Investors Service, mature in about one year.
Wall Street banks arranged about $28 billion in bonds backed by commercial mortgages this year, compared with $11.5 billion in 2010, Bloomberg data show. Issuance peaked at $232 billion in 2007.
The extra yield investors demand to own top-ranked commercial-mortgage bonds rather than Treasuries has risen to 259 basis points from this year’s low of 178 basis points on April 26, according to a Barclays Capital index. The spread has narrowed from 323 on Oct. 4, the widest since February 2010.
--Editors: John Parry, Alan Goldstein
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