KBRA Assigns Preliminary Ratings to BBCMS 2024-C26
2024年5月7日 - 3:27AM
ビジネスワイヤ(英語)
KBRA is pleased to announce the assignment of preliminary
ratings to 15 classes of BBCMS 2024-C26, an $810.3 million CMBS
conduit transaction collateralized by 46 commercial mortgage loans
secured by 101 properties.
The collateral properties are located throughout 32 MSAs, of
which the three largest are Los Angeles (9.3%), Dallas – Fort Worth
(9.1%), and Baltimore (8.6%). The pool has exposure to all major
property types, with three types representing more than 10.0% of
the pool balance: retail (38.4%), multifamily (27.5%), and office
(13.4%). The loans have principal balances ranging from $2.1
million to $75.0 million for the largest loan in the pool, Westwood
Gateway II (9.3%), which is secured by two Class-A, LEED Platinum
and Gold certified office buildings totaling 548,904 sf located in
Los Angeles, California, approximately 11 miles west of the city’s
CBD. The five largest loans, which also include Phoenix Industrial
Portfolio XI (9.3%), Arundel Mills and Marketplace (8.6%), The
Riley (6.6%), and Outlets at the Dells (4.5%), represent 38.3% of
the initial pool balance, while the top 10 loans represent
57.2%.
KBRA’s analysis of the transaction incorporated our
multi-borrower rating process that begins with our analysts'
evaluation of the underlying collateral properties' financial and
operating performance, which determine KBRA’s estimate of
sustainable net cash flow (KNCF) and KBRA value using our U.S. CMBS
Property Evaluation Methodology. On an aggregate basis, KNCF was
11.9% less than the issuer cash flow. KBRA capitalization rates
were applied to each asset’s KNCF to derive values that were, on an
aggregate basis, 37.3% less than third party appraisal values. The
pool has an in-trust KLTV of 90.2% and an all-in KLTV of 90.9%. The
model deploys rent and occupancy stresses, probability of default
regressions, and loss given default calculations to determine
losses for each collateral loan that are then used to assign our
credit ratings.
To access rating and relevant documents, click here.
Click here to view the report.
Related Publication
- BBCMS 2024-C26 KBRA Conduit KCAT
Methodologies
- CMBS: U.S. CMBS Multi-Borrower Rating Methodology
- CMBS: U.S. CMBS Property Evaluation Methodology
- CMBS: Methodology for Rating Interest-Only Certificates in CMBS
Transactions
- Structured Finance: Global Structured Finance Counterparty
Methodology
- ESG Global Rating Methodology
Disclosures
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.
Information on the meaning of each rating category can be
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.
About KBRA
Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit
rating agency registered with the U.S. Securities and Exchange
Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is
registered as a CRA with the European Securities and Markets
Authority. Kroll Bond Rating Agency UK Limited is registered as a
CRA with the UK Financial Conduct Authority. In addition, KBRA is
designated as a designated rating organization by the Ontario
Securities Commission for issuers of asset-backed securities to
file a short form prospectus or shelf prospectus. KBRA is also
recognized by the National Association of Insurance Commissioners
as a Credit Rating Provider.
Doc ID: 1004209
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240506426311/en/
Analytical Contacts
Faruk Sarikaya, Associate (Lead Analyst) +1 646-731-1223
faruk.sarikaya@kbra.com
Lynn D'Eugenio, Managing Director +1 646-731-2487
lynn.deugenio@kbra.com
Nitin Bhasin, Senior Managing Director, Global Head of CMBS
(Rating Committee Chair) +1 646-731-2334 nitin.bhasin@kbra.com
Business Development Contact
Daniel Stallone, Managing Director +1 646-731-1308
daniel.stallone@kbra.com