KBRA Downgrades Seven Ratings and Affirms All Other Ratings for JPMDB 2019-COR6
6 Nov 2024 | New York
KBRA downgrades the ratings of seven classes and affirms all other outstanding ratings for JPMDB 2019-COR6, a $792.2 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited a worsening in pool performance since securitization, including loans which transferred to special servicing and have been identified as K-LOCs, three of which (13.5% of the pool balance) have estimated losses.
As of the October 2024 remittance period, there are two specially serviced loans (6.7% of the pool balance), of which one is currently undergoing a modification (4.7%), and one is in foreclosure (2.0%). KBRA identified nine K-LOCs (34.6%), including the two specially serviced loans. These include:
Four of the top 10 loans (22.5%):
- Innovation Park (3rd largest, 6.9% of the pool balance)
- 12555 & 12655 Jefferson (4th largest, 6.8%, 45.4% loss severity)
- Hampton Roads Office Portfolio (7th largest, 4.7%, 23.9%)
- Jersey City Group 2 (10th largest, 4.1%)
One other loan has an estimated loss:
- Hilton Cincinnati Netherlands Plaza (2.0%, 35.5%)
The remaining four K-LOCs represent 10.1% of the pool balance and do not have estimated losses.
Excluding the K-LOCs with losses, the transaction’s WA KLTV is 101.3%, compared to 111.7% at last review and 99.8% at securitization. The KDSC is 2.21x, compared to 2.16x at last review and 2.37x at securitization.
Details concerning the classes with rating changes are as follows:
- Class D to BBB (sf) from BBB+ (sf)
- Class E to BB+ (sf) from BBB- (sf)
- Class F to BB (sf) from BBB- (sf)
- Class G-RR to B- (sf) from BB- (sf)
- Class H-RR to CCC (sf) from B- (sf)
- Class X-D to BB+ (sf) from BBB- (sf)
- Class X-F to BB (sf) from BBB- (sf)
To access ratings and relevant documents, click here.
Click here to view the report.