Bear CMBS Classes Downgraded

Three classes of Bear Stearns Commercial Mortgage Securities Inc. commercial mortgage pass-through securities, series 2000-LCON, have been downgraded by Moody's Investors Service.The downgrades were as follows: class C, from A2 to A3; class D, from Baa2 to Ba1; and class E, from Baa3 to Ba2. The ratings on classes A, X-1, X-2, and B of the same deal were affirmed. The certificates are supported by a first mortgage lien on fee and leasehold interests in the Wyndham El Conquistador Resort & Country Club, a full-service luxury resort in Las Croabas, Fajardo, Puerto Rico. Moody's said it reviewed the resort's property operations for 2002 and 2003 as well as the advance-booking pace and inventory reports. Performance has declined, primarily due to corporate cutbacks on nonessential travel and (to a lesser extent) on slower leisure travel, the rating agency said. The loan-to-value ratio for the loan is currently 70.6%, compared with 63.1% at securitization. Moody's can be found online at http://www.moodys.com.