Press Release|CMBS

KBRA Downgrades Three Ratings and Affirms All Other Ratings for Benchmark 2021-B27

30 May 2025   |   New York

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KBRA downgrades the ratings of three classes of certificates and affirms all other outstanding classes of Benchmark 2021-B27, a $1.1 billion CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited a worsening in pool performance since KBRA's last review. The rating actions also reflect KBRA’s estimated losses for ten K-LOCs (21.5%) and the resulting loss adjusted C/E levels.

As of the May 2025 remittance period, there are three specially serviced loans (11.2%), of which two (5.7%) are in foreclosure. KBRA has identified ten loans (21.5%) as K-LOCs, four of which (12.5%) have estimated losses. The K-LOCs are depicted in the table below:

Loss Given Default Loss Severity 4A1 Colonnade Corporate Center OF $58,286 5.5% Y C N Specially Serviced 12/11/2024 $18,516 31.8% 12 Culver City Fee RT $33,000 3.1% Y 90+ N Specially Serviced 03/06/2025 - - 14 Fisker Corporate Headquarters OF $30,000 2.8% N C N Occupancy 05/23/2024 $8,200 27.3% 15 Chase Tower OF $28,210 2.6% Y 30+ N Foreclosure 12/14/2023 $7,929 28.1% 16A2 iPark 84 Innovation Center IN $28,000 2.6% N C Y Recent Delinquency 01/06/2025 - - 20A2 1985 Marcus OF $17,095 1.6% N C N Occupancy 12/14/2023 $5,688 33.3% 21 Truax Office MU $16,212 1.5% N C N Occupancy 02/09/2024 - - 32 Mission Promenade MU $10,400 1.0% N 30+ N Occupancy 10/11/2023 - - 44 2530 North Orchard Street MF $4,150 0.4% N C N Recent Delinquency 01/03/2025 - - 46 Walgreens Snellville RT $3,679 0.3% N C N Tenant Issues 05/23/2024 - - Total K-LOCs $229,033 21.5% $40,333 1. K-LOC Date is the date when the most recent K-LOC was initially determined. 2. Loss Given Default assumes a 100% probability of default (PD). KBRA may determine a lower PD when estimating losses to a transaction. KBRA Estimated 2 K-LOCs Prosp. ID Loan Name Prop Type Current In-Trust Balance (000s) % of Deal Balance SS Loan Status Mod (Y/N) Primary K-LOC Reason K-LOC Date 1
Source: KBRA

Excluding the K-LOCs with estimated losses, the transaction's WA KLTV is 96.7%, compared to 98.9% at last review and 99.4% at securitization. The KDSC is 2.48x, compared to 2.52x at last review and 2.51x at securitization.

Details concerning the classes with rating changes are as follows:

  • Class G to B (sf) from BB (sf)
  • Class J-RR to B- (sf) from B+ (sf)
  • Class X-G to B (sf) from BB (sf)

To access ratings and relevant documents, click here.

Click here to view the report.

Related Publication

Methodologies

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1009664

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