KBRA Assigns Preliminary Ratings to NYC Trust 2024-3ELV
2024年7月23日 - 4:31AM
ビジネスワイヤ(英語)
KBRA announces the assignment of preliminary ratings to five
classes of NYC Trust 2024-3ELV, a CMBS single-borrower
securitization.
The collateral for the transaction is a $500.0 million
non-recourse, first lien mortgage loan that will be co-originated
by Goldman Sachs Bank USA and Wells Fargo Bank, N.A. The floating
rate loan is expected to have a two-year initial term with three
12-month extension options and require monthly interest-only
payments. The loan is secured by the borrower’s leasehold interest
in 3Eleven, a Class A, newly built 60-story multifamily tower that
includes 14,495 sf of ground floor retail space. The building is
located on 11th Avenue between West 29th Street and West 30th
Street on the border of the Hudson Yards and Chelsea neighborhoods
in New York City’s borough of Manhattan. The property contains a
total of 938 units, of which 703 (75.0%) are market rate and 235
(25.0%) are subject to affordability guidelines. In conjunction
with the affordable units, the property is subject to a 35-year
real estate tax exemption. As of June 2024, the residential portion
of the property is 97.9% leased.
KBRA’s analysis of the transaction included a detailed
evaluation of the property’s cash flows using our North American
CMBS Property Evaluation Methodology, and the application of our
North American CMBS Single Borrower & Large Loan Rating
Methodology. In addition, KBRA also relied on its Global Structured
Finance Counterparty Methodology for assessing counterparty risk in
this transaction, and its ESG Global Rating Methodology, to the
extent deemed applicable.
The results of our analysis yielded a KBRA net cash flow (KNCF)
for the subject of approximately $37.9 million, which is 6.1% below
the issuer’s NCF, and a KBRA value of approximately $561.6 million,
which is 39.6% below the appraiser’s as-is value. The resulting
in-trust KBRA Loan to Value (KLTV) is 89.0%. In our analysis of the
transaction, we also reviewed and considered third party
engineering, environmental, and appraisal reports, the results of
our site inspection of the property, and legal documentation
review.
To access rating and relevant documents, click here.
Click here to view the report.
Methodologies
- CMBS: North American CMBS Property Evaluation Methodology
- CMBS: North American CMBS Single Borrower & Large Loan
Rating Methodology
- 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: 1004781
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240722415341/en/
Analytical Contacts
Michael McGorty, Senior Director (Lead Analyst) +1 646-731-2393
michael.mcgorty@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