Fitch has assigned its top preliminary rating to nine classes of a new commercial mortgage-backed securities
The transaction is backed by about $876.7 million in loans and also has five other investment-grade classes. These have preliminary ratings ranging from AA-sf at the higher end to BBB-sf at the lower end. Three classes have speculative grade preliminary ratings of BBsf and Bsf. Two classes were not rated.
“The largest 10 loans account for 44.7% of the pool balance, which is lower than the average 2011 and 2012 top 10 loan concentrations of 59.9% and 54.2%, respectively,” Fitch said in its presale report on the deal.
Fitch also noted, “The average loan size of $9.2 million is much smaller than the average loan size of $18.3 million in 2012 conduit transactions.”
Property type concentration is highest for retail (20%), followed by hotel (18.3%) and multifamily (15.6%).
Wells Fargo, the Royal Bank of Scotland, Liberty Island Group I LLC, National Cooperative Bank, Basis Real Estate Capital II LLC and CIII Commercial Mortgage are the sellers. Wells and NCB also are master servicers, and NCB and LNR Partners LLC are special servicers for the transaction.
