Press Release|CMBS
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KBRA Affirms All Ratings for Highways 2021 PLC

19 Nov 2025   |   London

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KBRA UK (KBRA) affirms all of its outstanding ratings for Highways 2021 PLC, a CMBS single-borrower transaction. The affirmations follow a surveillance review of the transaction, which has shown a decrease in KLTV since securitisation. However, the magnitude of this change does not warrant any rating adjustments at this time. KBRA also considered the refinance risk associated with the loan’s final maturity on 16 December 2026.

The transaction collateral consists of a £264.5 million limited recourse, first lien mortgage loan secured by the borrowers’ freehold (seven properties) and freehold and leasehold (one) interests in eight motorway service areas (MSAs) located in the United Kingdom (UK). The portfolio has a combined lettable area of 199,925 sf, is let to the tenant Welcome Break, and is currently 100% occupied, which has remained consistent since closing. The floating rate loan had a two-year initial term with three one-year extension options, resulting in a fully extended maturity date of 16 December 2026. All three extension options have been exercised, and the hedging agreement has been extended through to December 2026.

KBRA utilised information from the trustee and servicer to analyse the loan collateral. The analysis produced a KNCF of £20.6 million and KBRA value of £317.5 million (£1,588 per sf). The resulting in-trust KLTV is 83.3%, down from 88.8% at last review and 93.0% at securitisation. KBRA maintains a KPO of Perform on the loan.

To access ratings 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.

This credit rating is endorsed by Kroll Bond Rating Agency Europe Limited for use in the European Union. Information on a credit rating’s endorsement status is available on its rating page at KBRA.com.

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.

There are certain issuers, entities or transactions rated by KBRA Europe or KBRA UK that may be or have relationships with Shareholders and/or Shareholder-Related Companies, as that term is defined in KBRA’s Shareholder and Shareholder Related Companies for KBRA Europe and KBRA UK Policy and Procedure. Relevant disclosure information may be found here.

About KBRA UK

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA 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 (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. Kroll Bond Rating Agency UK is located at 1 Connaught Place, 2nd Floor London, England.

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