Press Release|ABS
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KBRA Assigns Preliminary Rating to Sabal Issuer 2026-3 LLC

4 Nov 2026   |   New York

Contacts

KBRA assigns a preliminary rating to one class of notes issued by Sabal Issuer 2026-3 LLC. The transaction is collateralized by a diversified pool of 16,137 leases and power purchase agreements (PPAs) associated with residential solar photovoltaic installations (PV Systems), some of which have energy storage equipment. The total aggregate discounted solar asset balance (ADSAB) based on a discount rate of 7.5%, consisting of the discounted payments of the leases and PPAs is approximately $412.0 million. The securitization share of the ADSAB is approximately $378.7 million.

The three largest geographic concentrations include Florida, California, and Arizona, which together represent approximately 40.3% of the number of PV Systems and approximately 43.6% of the ADSAB. The portfolio consists of approximately 51.3% PPA agreements and 48.7% lease agreements by ADSAB of customer contracts with monthly payments and approximately 51.1% PPA agreements and 48.9% lease agreements with monthly payments by PV System count. The weighted average original and remaining tenor of the PPAs and leases is 300 months and 297 months, respectively. The weighted average FICO of the underlying customers of the PV Systems is 757.

To access ratings and relevant documents, click here.

Click here to view the report.

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.

Information on certain affiliations between directors of KBRA Ratings and rated entities or related third parties 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), one of the major credit rating agencies (CRA), is a full-service CRA registered with the US 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. Kroll Bond Rating Agency Japan K.K. is registered as a CRA with the Japan Financial Services Agency. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1017923