KBRA Downgrades One Rating and Affirms All Other Ratings for UBS 2019-C16
11 Apr 2025 | New York
KBRA downgrades the rating of one class of certificates and affirms all other outstanding ratings for UBS 2019-C16, a $591.8 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited an increase in specially serviced loans, as well as estimated losses for K-LOCs.
As of the March 2025 remittance report, there are three specially serviced loans (12.2% of the pool balance), which include two delinquent loans (4.2%) and one matured non-performing loan (7.9%). KBRA identified 11 K-LOCs (31.0%), including the special serviced loans. These include three top 10 loans:
- The Colonnade Office Complex (largest, 7.9% of the pool balance)
- Dominion Towers (2nd largest, 7.4%)
- 489 Broadway (10th largest, 3.2%)
Two K-LOCs have estimated losses:
- Quince Diamond Executive Center (1.4% of the pool balance, 58.2% estimated loss severity)
- 16300 Roscoe Blvd (1.3%, 13.0%)
The remaining six K-LOCs do not have estimated losses and represent 9.8% of the pool.
Excluding the K-LOCs with estimated losses, the transaction's WA KLTV is 94.0%, compared to 96.5% at last review and 92.5% at issuance. The KDSC is 1.70x, compared to 1.65x at last review and 1.91x at issuance.
Details concerning the class with the ratings change is as follows:
- Class H-RR to B- (sf) from B (sf)
To access ratings and relevant documents, click here.
Click here to view the report.