Morgan Stanley, Deutsche Bank AG, and other investment banks are on track to sell a record amount of bonds tied to real estate in Japan, where rising property prices have created a safe haven from the subprime concerns afflicting other markets.

Sales of commercial mortgage-backed securities — loans to buyers of property repackaged into bonds — will probably reach ¥1.89 trillion in Japan this year, said Douglas Smith, managing director of commercial real estate at Deutsche Bank. CMBS Sales may rise 18 percent this year from last year’s record of ¥1.6 trillion, as Japan’s commercial land prices rose for the first for the first time since 1991.

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