BoA CMBS Classes Downgraded

Five classes of Banc of America Commercial Mortgage Inc. commercial mortgage pass-through certificates, series 2001-1, have been downgraded by Moody's Investors Service.The downgrades were as follows: class K, from Ba2 to B1; class L, from Ba3 to B2; class M, from B1 to B3; class N, from B2 to Caa2; and class O, from B3 to Ca. In addition, Moody's affirmed the ratings of 12 other classes in the deal. The downgrades were attributed to realized and expected losses from specially serviced loans and loan-to-value dispersion. Moody's said 25.5% of the conduit pool has an LTV greater than 100%, compared with 4.1% at securitization. Three of the top 10 loans are watchlisted by the master servicer, including the sixth-largest, Tally Plaza; the eighth-largest, Northwest-Hidden Valley; and the ninth-largest, Keswick Village Apartments. The certificates are collateralized by 177 mortgage loans secured by commercial and multifamily properties, of which 11 loans, representing 7.0% of the pool, are in special servicing, Moody's said. The rating agency can be found online at http://www.moodys.com.