Press Release|CMBS

KBRA Affirms All Ratings for GSMS 2022-ECI

9 Aug 2024   |   New York

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KBRA affirms all outstanding ratings for GSMS 2022-ECI, a $520.0 million CMBS single-borrower transaction. The affirmations follow a surveillance review of the transaction, which has exhibited stable performance since issuance.

The transaction collateral is a non-recourse, first lien mortgage loan secured by the borrower’s fee simple interest in 13 garden-style multifamily properties totaling 3,478 units located across four states. The floating rate loan has an initial two-year term with three one-year extension options and requires monthly interest-only payments based on one-month term SOFR. The loan sponsor is the ECI Group, an Atlanta, Georgia based multifamily owner/operator with over 6,000 multifamily units in the US Southeast and Texas. The loan’s initial maturity date is August 9, 2024. According to the July 2024 servicer reporting, the effectuation of the first maturity extension is currently in process.

The review utilized information obtained from the trustee and servicer to analyze the loan collateral. The analysis produced a KNCF of $40.7 million and a KBRA value of $549.7 million ($158,059 per unit). The resulting in-trust KLTV is 94.6%, a change from 98.6% at last review, and 100.7% at securitization. KBRA maintains a KPO of Perform for the loan.

To access rating and relevant documents, click here.

Click here to view the report.

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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) is a full-service credit rating agency 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 by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1005413

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