KBRA Affirms All Ratings for CGCMT 2014-GC23
17 Jul 2026 | New York
KBRA affirms all outstanding ratings for CGCMT 2014-GC23. The transaction has been reduced to two loans and a balance of $105.1 million from 80 loans and $1.2 billion at securitization. Both of the remaining assets have been identified as KBRA Loans of Concern (K-LOCs). The affirmations are based on KBRA’s expected resolutions of the remaining loans. KBRA's estimated losses total $63.2 million, which, if realized, would impact Class E and below. The estimated losses have increased since KBRA’s last ratings change in July 2024; however, the magnitude of the change does not warrant ratings adjustments at this time.
As of the July 2026 remittance period, both of the remaining assets are REO.
Selig Portfolio ($94.6 million, 90.1%, K-LOC, REO)
- The collateral consists of seven office properties, totaling 1.1 million sf, in downtown Seattle. All of the properties are easily accessible from Interstate 5 as well as State Route 99.
- The asset transferred to the special servicer in March 2024 due to imminent maturity default. The asset became REO in August 2025 and was subsequently non-recoverable. The special servicer is expecting a partial sale of the portfolio in 2026, with final disposition by December 2028. As of the July 2026 remittance period, the loan has $3.7 million in cumulative non recoverable interest in this trust.
- The servicer reported an occupancy and DSC of 62.0% and 0.19x for the FY 2025 period. An appraisal dated January 2026 valued the properties at $131.9 million ($122 per sf), representing a 62.8% decrease from closing ($335.3 million; $310 per sf). The asset carries a cumulative ARA of $117.1 million on the whole loan balance, of which $47.6 million is allocated to this trust, resulting in a cumulative ASER of $317,746. KBRA’s analysis resulted in an estimated loss of $142.1 million (60.9% estimated loss severity) on the whole loan balance of $233.1 million. The loss is based on projected total exposure of $244.0 million and KBRA's liquidation value of $101.9 million ($94 per sf), which is derived from a direct capitalization approach using a KNCF of $11.4 million and a capitalization rate of 10.00%.
5185 MacArthur Boulevard ($10.4 million, 9.9%, K-LOC, REO)
- The collateral comprises a 43,617 sf mixed-use retail and office building located in Washington, DC, approximately five miles northwest of the city’s CBD.
- The asset transferred to special servicing in July 2024 after the former borrower failed to repay the loan at maturity and became REO in January 2025. The asset is not currently being marketed for sale.
- The servicer reported an occupancy and DSC of 81.0% and 0.35x for the FY 2025 period. An appraisal dated February 2026 valued the properties at $10.2 million ($234 per sf), representing a 36.3% decrease from closing ($16.0 million; $367 per sf). The asset carries an aggregate ARA of $2.0 million, resulting in a cumulative ASER of $7,373. KBRA’s analysis resulted in an estimated loss of $5.5 million (52.7% estimated loss severity) on the loan balance of $10.5 million. The loss is based on projected total exposure of $11.6 million and KBRA's liquidation value of $6.1 million ($142 per sf). The value considers a distressed non-stabilized disposition of the asset.
Details concerning the rating affirmations are as follows:
- Class D at B- (sf)
- Class E at CCC (sf)
- Class F at CC (sf)
Ratings Sensitivities
Future rating actions will be dependent upon the ongoing assessment of the timing and likelihood of ultimate payment of principal and accrued interest on the rated certificates. The assessment will consider the expected and actual losses on the remaining assets in the transaction, as well as the magnitude and extent of interest shortfalls, if any, on the certificates.
To access ratings and relevant documents, click here.