Mezz Cap CMBS Classes Downgraded

Six classes of Mezz Cap commercial mortgage pass-through certificates have been downgraded by Fitch Ratings. The downgrades were as follows: series 2005-C3, class F, from BBB-minus to BB-plus, class G, from BB to B-plus, class H, from B to CCC/DR1, and class J, from B-minus to CCC/DR5; and series 2004-C1, class H, from B to B-minus/DR1, and class J, from B-minus to CCC/DR5. Fitch also affirmed the ratings on 14 classes in the two transactions. The downgrades were based on expected losses in specially serviced assets, the rating agency said. The mortgage loans collateralizing the deal consist of two notes: an A note, or senior component (which is not included in the trust's mortgage assets), and a B note, which consists of subordinate interests in the first-mortgage loans, according to Fitch.