KBRA

KBRA Releases Monthly CMBS Trend Watch

Retrieved on: 
Wednesday, April 3, 2024
Banking, Professional Services, Finance, CMBS, Research, Freddie Mac, Publication, KBRA

KBRA releases the March 2024 issue of CMBS Trend Watch.

Key Points: 
  • KBRA releases the March 2024 issue of CMBS Trend Watch.
  • U.S. private label CMBS issuance totaled $9 billion in March, outpacing the February year-to-date total of $8.8 billion, with year-over-year volume higher by 198.4%.
  • In March, KBRA published pre-sales for six deals ($4.5 billion) including three conduits ($2.7 billion), two SB ($658.2 million), and one re-remic ($1.2 billion).
  • In addition, eight ratings were placed on Watch Downgrade and seven ratings on Watch Developing.

KBRA Assigns Preliminary Ratings to GLS Auto Select Receivables Trust 2024-2

Retrieved on: 
Wednesday, April 3, 2024
Banking, Professional Services, Insurance, Finance, Assured Investment Management, The Company, KBRA, GLS, ABS, Car

KBRA assigns preliminary ratings to four classes of notes (five tranches) issued by GLS Auto Select Receivables Trust 2024-2 ("GSAR 2024-2"), an auto loan ABS transaction.

Key Points: 
  • KBRA assigns preliminary ratings to four classes of notes (five tranches) issued by GLS Auto Select Receivables Trust 2024-2 ("GSAR 2024-2"), an auto loan ABS transaction.
  • GSAR 2024-2 represents the fourth near prime term ABS securitization for Global Lending Services LLC ("GLS" or the "Company"), and the second of 2024.
  • Since 2014, the Company has also issued 26 securitizations under their GCAR program, collateralized by mostly subprime auto loans.
  • KBRA considered its operation review of GLS, as well as periodic due diligence calls with GLS.

KBRA Assigns Preliminary Ratings to Flagship Credit Auto Trust 2024-1

Retrieved on: 
Wednesday, April 3, 2024
Banking, Professional Services, Finance, FCAT, FC, Class, ABS, KBRA

KBRA assigns preliminary ratings to five classes of notes (seven tranches) issued by Flagship Credit Auto Trust 2024-1 (“FCAT 2024-1”), an asset-backed securitization collateralized by a pool of auto loans.

Key Points: 
  • KBRA assigns preliminary ratings to five classes of notes (seven tranches) issued by Flagship Credit Auto Trust 2024-1 (“FCAT 2024-1”), an asset-backed securitization collateralized by a pool of auto loans.
  • The transaction has initial hard credit enhancement levels of 40.60% for the Class A Notes through 4.60% for the Class E Notes.
  • FCAT 2024-1 represents the first term ABS securitization in 2024 for FC HoldCo LLC, the parent company of Flagship Credit Acceptance LLC (“Flagship”) and CarFinance Capital LLC.
  • The underlying auto loans supporting FCAT 2024-1 were originated by Flagship and CarFinance Capital LLC and are serviced by Flagship.

KBRA Assigns Preliminary Ratings to FREMF 2024-K755 and Freddie Mac Structured Pass-Through Certificate Series K-755

Retrieved on: 
Tuesday, April 2, 2024
Professional Services, Finance, KBRA, CMBS, NCF, Probability, Freddie Mac, SPCS

KBRA is pleased to announce the assignment of preliminary ratings to four classes of FREMF Series 2024-K755 mortgage pass-through certificates and three classes of Freddie-Mac structured pass-through certificates (SPCs), Series K-755.

Key Points: 
  • KBRA is pleased to announce the assignment of preliminary ratings to four classes of FREMF Series 2024-K755 mortgage pass-through certificates and three classes of Freddie-Mac structured pass-through certificates (SPCs), Series K-755.
  • Freddie Mac will guarantee six classes of certificates issued in the underlying Series 2024-K755 securitization and will deposit the guaranteed underlying certificates into a separate trust that will issue the SPCs.
  • The underlying transaction is collateralized by 34 fixed-rate multifamily mortgage loans.
  • The assets are located in 18 states, with the three largest concentrations in Florida (21.1%), Pennsylvania (10.5%), and Texas (10.5%).

KBRA Comments on FineMark Holdings, Inc.'s Preferred Stock Issuance

Retrieved on: 
Tuesday, April 2, 2024
Banking, Professional Services, Finance, BBB, KBRA, OTCQX, Outlook, Security (finance)

The majority of the proceeds ($28 million) was downstreamed to its subsidiary, FineMark National Bank & Trust (“the bank”) to increase common equity capital.

Key Points: 
  • The majority of the proceeds ($28 million) was downstreamed to its subsidiary, FineMark National Bank & Trust (“the bank”) to increase common equity capital.
  • The remaining proceeds of $2 million were retained at the parent company and are equivalent to about the annual level of preferred dividends.
  • The convertible preferred stock qualifies as additional Tier 1 capital at the consolidated level, and, as a result, has increased the pro forma Tier 1 leverage ratio to 9.2%, compared to 8.5% as of YE23.
  • On July 7, 2023, KBRA affirmed the senior unsecured debt rating of BBB, the subordinated debt rating of BBB-, and the short-term debt rating of K3 for Fort Myers, Florida based FineMark Holdings, Inc.

KBRA Assigns AAA Rating to Oregon State Lottery Revenue Bonds, 2024 Series A - D; Affirms Rating for Parity Bonds

Retrieved on: 
Monday, April 1, 2024
Professional Services, Finance, Nature, AAA, Parity, Outlook, State, KBRA, Mads

KBRA assigns a long-term rating of AAA to the State of Oregon Department of Administrative Services: Oregon State Lottery Revenue Bonds, 2024 Series A (Tax-Exempt Projects & Refunding); Oregon State Lottery Revenue Bonds, 2024 Series B (Federally Taxable Projects); Oregon State Lottery Revenue Bonds, 2024 Series C (Tax-Exempt Refunding); and, Oregon State Lottery Revenue Bonds, 2024 Series D (Tax-Exempt Refunding).

Key Points: 
  • KBRA assigns a long-term rating of AAA to the State of Oregon Department of Administrative Services: Oregon State Lottery Revenue Bonds, 2024 Series A (Tax-Exempt Projects & Refunding); Oregon State Lottery Revenue Bonds, 2024 Series B (Federally Taxable Projects); Oregon State Lottery Revenue Bonds, 2024 Series C (Tax-Exempt Refunding); and, Oregon State Lottery Revenue Bonds, 2024 Series D (Tax-Exempt Refunding).
  • KBRA additionally affirms the long-term rating of AAA for parity Oregon State Lottery Revenue Bonds.
  • The rating actions reflect the following key credit considerations:
    The Lottery enjoys statewide support as an essential resource, funding 6.1% of FY 2023 State General Fund expenditures.
  • Sustained decline in Lottery sales that results in significantly diminished coverage of Lottery Revenue Bond debt service from unobligated net lottery proceeds.

KBRA Assigns Preliminary Ratings to HTL 2024-T53

Retrieved on: 
Monday, April 1, 2024
Professional Services, Finance, ADR, HTL, TTM, CMBS, KLTV, RevPAR, NCF, Engineering, KBRA, Telescopic sight

KBRA announces the assignment of preliminary ratings to six classes of HTL 2024-T53, a CMBS single-borrower securitization.

Key Points: 
  • KBRA announces the assignment of preliminary ratings to six classes of HTL 2024-T53, a CMBS single-borrower securitization.
  • The collateral for the transaction is a $631.5 million fixed rate, interest-only mortgage loan.
  • The loan will be secured by the borrowers’ fee simple interests in 53 hotels, all located in 14 states.
  • As of TTM 1/2024, the portfolio achieved weighed average occupancy, ADR and RevPAR penetration rates of 106.9%, 109.1% and 118.8%, respectively.

KBRA Assigns Preliminary Ratings to Sequoia Mortgage Trust 2024-4 (SEMT 2024-4)

Retrieved on: 
Monday, April 1, 2024
Professional Services, Finance, ESG, KBRA

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

Key Points: 
  • Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.
  • A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here .
  • Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above.
  • Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com .

KBRA Assigns Rating to Blue Owl Technology Finance Corp. II's $700 Million Senior Unsecured Notes

Retrieved on: 
Thursday, March 28, 2024
Banking, Professional Services, Insurance, Finance, Risk management, Growth, BBB, Risk, Application software, System, Business Development Company, BDC, KBRA, Diversification, Blue Owl Capital, Investment, AUM, RIC, OTF, Bank

KBRA assigns a rating of BBB to Blue Owl Technology Finance Corporation II’s (“OTF II” or “the company”) $700 million, 6.750% senior unsecured notes due 2029.

Key Points: 
  • KBRA assigns a rating of BBB to Blue Owl Technology Finance Corporation II’s (“OTF II” or “the company”) $700 million, 6.750% senior unsecured notes due 2029.
  • OTF II’s growth capital portfolio comprised 13.2% of the investment portfolio and had a weighted average enterprise value of $12.8 billion.
  • The company is managed by Blue Owl Technology Credit Advisors II LLC, an affiliate Blue Owl Capital, Inc., which had approximately $165+ billion of AUM as of December 31, 2023.
  • The company’s investment strategy coincides with the strategy of Blue Owl Technology Finance Corp. (KBRA Issuer/Senior Unsecured Debt ratings of BBB/Stable Outlook) and Blue Owl Technology Income Corp. (KBRA Issuer/Senior Unsecured Debt ratings of BBB/Stable Outlook).

KBRA Assigns Preliminary Ratings to Kinbane 2024-RPL 1 DAC

Retrieved on: 
Thursday, March 28, 2024
Professional Services, Finance, Disclosure, ESG, Jules Kroll, Policy, KBRA, Security (finance)

This credit rating is endorsed by Kroll Bond Rating Agency UK Limited for use in the UK.

Key Points: 
  • This credit rating is endorsed by Kroll Bond Rating Agency UK Limited for use in the UK.
  • Information on a credit rating’s endorsement status is available on its rating page at KBRA.com.
  • Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com .
  • There are certain issuers, entities or transactions rated by KBRA Europe or KBRA UK that may be or have relationships with Shareholders and/or Shareholder-Related Companies, as that term is defined in KBRA’s Shareholder and Shareholder Related Companies for KBRA Europe and KBRA UK Policy and Procedure.