KBRA Downgrades Six Ratings and Affirms All Other Ratings for COMM 2015-CCRE22
2 Aug 2024 | New York
KBRA downgrades the ratings of six classes of certificates and affirms all other outstanding ratings of COMM 2015-CCRE22, a $933.7 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited an increase in estimated losses from three K-LOCs (14.4% of the pool balance), two of which are within the top 10 loans. The rating action also considers the deleveraging of the transaction from loan pay-offs, amortization, and defeasance.
As of the July 2024 remittance period, there are three specially serviced loans (10.4%), one of which is in foreclosure (1.8%) and two are delinquent (8.6%). KBRA identified nine K-LOCs (30.9%), including the specially serviced loans. These include four of the top 10 loans:
- Wells Fargo Crossed Portfolio (largest, 8.3% of the pool balance)
- One Riverway (2nd largest, 7.5%, 36.3% estimated loss severity)
- UnitedHealth Group HQ (4th largest, 5.1%, 34.4%)
- Hotel Giraffe (8th largest, 3.2%)
One other K-LOC has an estimated loss:
- 205 West Randolph (1.8%, 47.7%)
The remaining four K-LOCs do not have estimated losses and represent 4.6% of the pool balance
Excluding the K-LOCs with estimated losses, the transaction’s WA KLTV is 105.2%, compared to 108.7% at the last ratings change in August 2023 and 104.3% at issuance. The KDSC is 1.59x, compared to 1.55x at the last ratings change and 1.82x at issuance.
Details concerning the classes with ratings changes are as follows:
- Class D to BB (sf) from BBB- (sf)
- Class E to B (sf) from BB- (sf)
- Class F to CCC (sf) from B- (sf)
- Class G to CC (sf) from CCC (sf)
- Class X-C to BB (sf) from BBB- (sf)
- Class X-D to CCC (sf) from B- (sf)
To access rating and relevant documents, click here.
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