KBRA Upgrades One Rating and Affirms All Other Ratings for FREMF 2017-K71
21 Feb 2025 | New York
KBRA upgrades the ratings of one class and affirms all other outstanding ratings for FREMF 2017-K71, a $1.4 billion CMBS multi-borrower transaction. All loans were originated in conjunction with the Federal Home Loan Mortgage Corporation’s (Freddie Mac) K-Deal program. The rating actions follow a surveillance review of the transaction, which has exhibited a continuing improvement in pool performance since KBRA's last ratings change in February 2024. In addition, the rating actions reflect transaction deleveraging from loan defeasances and amortization.
As of the January 2025 remittance period, none of the loans are specially serviced or delinquent. However two loans (4.8% of the pool) have been identified as K-LOCs, neither of which have estimated losses. These include:
- Princeton Estates Apartments (3rd largest, 3.1%)
- Oakmont Of San Jose (8th largest, 1.7%)
The transaction's WA KLTV is 93.3%, compared to 99.7% at KBRA's last ratings change and 120.0% at securitization. The KDSC is 1.81x, compared to 1.67x at KBRA's last ratings change and 1.40x at securitization.
Details concerning the class with a ratings change are as follows:
- Class B to AA (sf) from AA- (sf)
To access ratings and relevant documents, click here.
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