Commercial mortgage-backed security

KBRA Assigns Preliminary Ratings to WFCM 2020-C58

Retrieved on: 
Monday, November 30, 2020

Kroll Bond Rating Agency (KBRA) is pleased to announce the assignment of preliminary ratings to 35 classes of WFCM 2020-C58, a $696.3 million CMBS conduit transaction collateralized by 48 commercial mortgage loans secured by 70 properties.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) is pleased to announce the assignment of preliminary ratings to 35 classes of WFCM 2020-C58, a $696.3 million CMBS conduit transaction collateralized by 48 commercial mortgage loans secured by 70 properties.
  • The collateral properties are located throughout 31 MSAs, the largest three of which are Sacramento (14.4%), Los Angeles (12.2%), and New York (7.2%).
  • KBRA capitalization rates were applied to each assets KNCF to derive values that were, on an aggregate basis, 43.5% less than third party appraisal values.
  • To access ratings and relevant documents, click here .

400 Capital Management LLC Hires Carmel Partners’ Quinn Barton

Retrieved on: 
Tuesday, November 24, 2020

400 Capital Management LLC (400CM), a $4.4 billion leading alternative credit asset manager, has hired Quinn R. Barton III to expand its investments in commercial real estate finance.

Key Points: 
  • 400 Capital Management LLC (400CM), a $4.4 billion leading alternative credit asset manager, has hired Quinn R. Barton III to expand its investments in commercial real estate finance.
  • Mr. Barton, formerly a Managing Partner at Carmel Partners, is joining 400CM as a Senior Portfolio Manager of CRE and CMBS focusing on originating, structuring and trading all performing and non-performing CRE-related loans and securities.
  • The universe of distressed real estate assets has ballooned during the COVID-19 pandemic, said Mr. Barton.
  • 400 Capital Management LLC is an employee-owned firm led by four partners with over three decades of trading, investment and risk management experience in the credit and securitized credit markets coupled with an established record of investment success through multiple market cycles.

KBRA Releases CMBS Research – 2021 Sector Outlook: Slow and Steady

Retrieved on: 
Friday, November 20, 2020

Kroll Bond Rating Agency (KBRA) releases its 2021 CMBS Outlook, which examines and provides forecasts for issuance activity in the new year.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) releases its 2021 CMBS Outlook, which examines and provides forecasts for issuance activity in the new year.
  • The report also provides a review of the current lending environment and property fundamentals, as well as factors that may affect property performance in 2021.
  • The report also discusses year-to-date (YTD) KBRA-rated CMBS conduit trends and metrics, and takes a closer look at 2020 ratings activity.
  • During 2020, KBRA effectuated more than 3x the combined number of downgrades from all the previous years since KBRA has been rating CRE securitizations.

KBRA Assigns Preliminary Ratings to Benchmark 2020-B21

Retrieved on: 
Tuesday, November 17, 2020

Kroll Bond Rating Agency (KBRA) is pleased to announce the assignment of preliminary ratings to 17 classes of Benchmark 2020-B21, a $1.1 billion CMBS conduit transaction collateralized by 39 commercial mortgage loans secured by 74 properties.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) is pleased to announce the assignment of preliminary ratings to 17 classes of Benchmark 2020-B21, a $1.1 billion CMBS conduit transaction collateralized by 39 commercial mortgage loans secured by 74 properties.
  • The collateral properties are located throughout 49 MSAs, the largest three of which are New York (37.3%), Los Angeles (8.8%), and Sacramento (6.9%).
  • KBRA capitalization rates were applied to each assets KNCF to derive values that were, on an aggregate basis, 44.3% less than third party appraisal values.
  • To access ratings and relevant documents, click here .

KBRA Credit Profile (KCP) Releases Research – Sizing Up CMBS Exposure to Simon Property Group

Retrieved on: 
Friday, November 13, 2020

KBRA Credit Profile (KCP), a division of KBRA Analytics, releases a special report which identifies CMBS exposure to Simon Property Group (SPG) sponsorship and examines the credit risks of individual loans and properties using a variety of commercial real estate metrics, including in-line tenant occupancy, net cash flow, and debt yield.

Key Points: 
  • KBRA Credit Profile (KCP), a division of KBRA Analytics, releases a special report which identifies CMBS exposure to Simon Property Group (SPG) sponsorship and examines the credit risks of individual loans and properties using a variety of commercial real estate metrics, including in-line tenant occupancy, net cash flow, and debt yield.
  • Other SPG properties in CMBS, through KCPs analysis, exhibit similar credit profiles to the assets being conveyed to the lenders.
  • KBRA Credit Profile (KCP) is a research service and nothing herein or otherwise provided by KCP shall be construed as a rating.
  • KBRA is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO.

KBRA Releases Research – Coronavirus (COVID-19): CMBS Interest Shortfalls Rise in COVID’s Wake

Retrieved on: 
Wednesday, November 11, 2020

Kroll Bond Rating Agency (KBRA) releases a report on the rise of interest shortfalls in U.S. commercial mortgage-backed securities (CMBS).

Key Points: 
  • Kroll Bond Rating Agency (KBRA) releases a report on the rise of interest shortfalls in U.S. commercial mortgage-backed securities (CMBS).
  • More than 85% (225) of the 263 deals in KBRAs rated conduit universe have been impacted by interest shortfalls to varying degrees.
  • The increase is not surprising as interest shortfalls are generally driven by delinquent and specially serviced loans.
  • While the shortfalls have generally affected the first loss (unrated) class, KBRA has observed a large increase in shortfalls on rated classes.

KBRA Assigns Preliminary Ratings to GRACE 2020-GRCE

Retrieved on: 
Wednesday, November 4, 2020

Kroll Bond Rating Agency (KBRA) announces the assignment of preliminary ratings to eight classes of GRACE 2020-GRCE, a CMBS single-borrower securitization.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) announces the assignment of preliminary ratings to eight classes of GRACE 2020-GRCE, a CMBS single-borrower securitization.
  • The loan is secured by the borrowers fee simple interest in the Grace Building, a 1,6 million sf, 48-story Class-A office tower located in Midtown Manhattan.
  • The results of our analysis yielded a KBRA net cash flow (KNCF) of approximately $92.1 million.
  • To value the property, we applied a capitalization rate of 6.75% to arrive at a KBRA value of approximately $1.4 billion.

KBRA Releases Monthly CMBS Trend Watch

Retrieved on: 
Wednesday, November 4, 2020

Kroll Bond Rating Agency (KBRA) releases Octobers CMBS Trend Watch.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) releases Octobers CMBS Trend Watch.
  • CMBS private label pricing volume ended the month of October at $6.1 billion, a positive note in an otherwise somber year for new issuance.
  • This months Spotlight section provides an update to KBRAs Pandemic CMBS: Originating Through the Contagion report, which was published on September 4, 2020.
  • KBRA highlighted 412 KBRA Loans of Concern as well as 103 KBRA Performance Outlook changes.

CMLS Financial releases November 2020 Commercial Mortgage Commentary

Retrieved on: 
Tuesday, November 3, 2020

TORONTO, Nov. 03, 2020 (GLOBE NEWSWIRE) -- CMLS Financial, one of Canadas largest independently owned mortgage services companies, has released their latest Commercial Mortgage Commentar y , an in-depth analysis of the commercial mortgage market in Canada.

Key Points: 
  • TORONTO, Nov. 03, 2020 (GLOBE NEWSWIRE) -- CMLS Financial, one of Canadas largest independently owned mortgage services companies, has released their latest Commercial Mortgage Commentar y , an in-depth analysis of the commercial mortgage market in Canada.
  • CMLS Financial is Canadas leading provider of commercial mortgage market intelligence.
  • On a quarterly basis, CMLS Financial publishes a commentary on the Canadian commercial mortgage market with specific analysis of the conventional market, the CMHC-insured market, and the Canadian CMBS market.
  • Founded in 1974, CMLS Financial has over 40 years experience as Canadas Mortgage Company.

New York Fed Selects Mischler Financial Group to Support SMCCF and Becomes Approved Counterparty for Open Market Agency CMBS Program

Retrieved on: 
Monday, October 26, 2020

Diversity-certified investment bank and institutional brokerage Mischler Financial Group, Inc. (MFG) has announced that it has been selected by the Federal Reserve Bank of New York to support the Secondary Market Corporate Credit Facility (SMCCF) and is also selected to serve as an approved counterparty for the Open Market Trading Desks purchases of agency commercial mortgage-backed securities (CMBS).

Key Points: 
  • Diversity-certified investment bank and institutional brokerage Mischler Financial Group, Inc. (MFG) has announced that it has been selected by the Federal Reserve Bank of New York to support the Secondary Market Corporate Credit Facility (SMCCF) and is also selected to serve as an approved counterparty for the Open Market Trading Desks purchases of agency commercial mortgage-backed securities (CMBS).
  • Approved firms for both SMCCF and the Agency CMBS counterparty program have been selected based on eligibility requirements, including size restrictions, transaction capabilities, financial condition, compliance controls, and equal opportunity and diversity efforts.
  • Mischler had previously been selected by the New York Fed to participate in its inaugural Treasury Operations Counterparty Pilot Program in 2013, as well as the inaugural Mortgage-Backed Securities Pilot Program in 2014.
  • Established in 1994, Mischler is the securities industrys oldest minority-certified broker-dealer owned and operated by Service-Disabled Veterans, a federally-certified Service-Disabled Veteran-Owned Small Business Enterprise (SDVOSB) and a certified Minority Owned Business (MBE).