KBRA Upgrades Three Ratings and Affirms All Other Ratings for FREMF 2018-K85
17 Jan 2025 | New York
KBRA upgrades the ratings of three classes and affirms all other outstanding ratings for FREMF 2018-K85, a $1.5 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 an improvement in pool performance since last ratings change.
As of the December 2024 remittance period, there are no delinquent or specially serviced loans. However, KBRA identified three K-LOCs (5.1% of the pool balance), none of which have estimated losses. These include one top 10 loan:
- The Residence On Lamar (10th largest, 2.7%)
The transaction’s WA KLTV is 92.1%, compared to 112.3% at last ratings change and 113.0% at securitization. The KDSC is 1.75x, compared to 1.41x at last ratings change and 1.39x at securitization.
Details concerning the classes with ratings changes are as follows:
- Class A-M to AA+ (sf) from AA (sf)
- Class B to AA- (sf) from A (sf)
- Class C to A- (sf) from BBB (sf)
To access ratings and relevant documents, click here.
Click here to view the report.