Press Release|CMBS

KBRA Places All Ratings of Berg Finance 2021 DAC on Watch Developing

17 Apr 2026   |   London

Contacts

KBRA UK (KBRA) has placed the ratings of all outstanding classes of Berg Finance 2021 DAC, a €48.3 million CMBS single borrower transaction on Watch Developing. The Watch placements reflects the transfer of the underlying Sirocco Loan to special servicing following the borrower’s failure to repay the outstanding loan balance at its scheduled final maturity on 15 April 2026, constituting a non-payment Event of Default.

According to a notice published by the servicer on 15 April 2026, a short-term extension of the loan’s final maturity date could not be granted due to the terms of the transaction documents. The servicer noted that the borrower’s refinancing has been delayed. The Facility Agent, Security Agent, and the obligors’ agent entered into a standstill agreement for a period through to 15 July 2026. During this period, the parties agreed not to take action to exercise the issuer’s rights or remedies related to the Event of Default.

At closing, the transaction collateral consisted of two non-crossed, limited recourse, first-lien mortgage loans: Big Mountain and Sirocco. The Big Mountain loan was repaid in full, while the Sirocco loan remains outstanding. The Sirocco loan was initially secured by four properties, three of which was subsequently released at a release premium of 119.0%.

The remaining property is Peak Vienna, a 31-storey office building in Vienna, Austria, with a total area of 40,250 sq m and an appraised value of EUR 95.6 million as of July 2024. According to the January 2026 investor report, occupancy improved to 82.9% from 78.0% as of KBRA’s last annual review. For the latest reporting period, the LTV was 50.5% and the debt yield was 11.6%.

KBRA will continue to monitor the transaction and the underlying loan’s performance and will seek to resolve the Watch within 90 days.

To access ratings and relevant documents, click here.

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Disclosures

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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