Fitch Eyes CSFB CMBS Class

Class K of Credit Suisse First Boston Mortgage Securities Corp.'s commercial mortgage pass-through certificates, series 1999-C1, has been placed on Rating Watch Negative by Fitch Ratings.The rating action was based on potential losses on the specially serviced loans that would "severely" affect the credit enhancement, Fitch said. Nine loans representing 10.3% of the pool are being special serviced by Lennar Partners Inc., according to the rating agency. One real-estate-owned property, totaling 2.3% of the pool, is collateralized by a parking garage in St. Louis and is now listed for sale. Fitch said "significant losses" may occur with its disposition. Another specially serviced loan (2.2%) is collateralized by an office property in San Mateo, Calif., and is 60 days delinquent. A tenant occupying 76% of the space has vacated and will cease rental payments in December 2004. Lennar is pursuing foreclosure and a receiver has been appointed, according to Fitch. The rating agency can be found online at http://www.fitchratings.com.