KBRA Upgrades One Rating and Affirms All Other Ratings for FREMF 2017-K68
21 Feb 2025 | New York
KBRA upgrades the ratings of one class and affirms all other outstanding ratings for FREMF 2017-K68, a $1.2 billion CMBS multi-borrower transaction. All loans were originated in conjunction with the Federal Home Loan Mortgage Corporation’s (Freddie Mac) K-Deal program. The rating actions follow a surveillance review of the transaction, which has exhibited an overall improvement in credit metrics since KBRA's last ratings change. In addition, the rating actions reflect transaction deleveraging from loan defeasances and amortization.
As of the January 2025 remittance period, there are no delinquent or specially serviced loans. However, KBRA identified three K-LOCs (9.8%), none of which have estimated losses. These include one top 10 loan:
- Arden Pointe Apartments (largest, 9.6%)
The remaining two K-LOCs do not have estimated losses and represent 0.2% of the pool balance.
The transaction's WA KLTV is 91.8%, compared to 106.5% at last ratings change and 117.0% at securitization. The KDSC is 1.67x, compared to 1.48x at last ratings change and 1.41x at securitization.
Details concerning the classes with ratings changes are as follows:
- Class B to AA- (sf) from A+ (sf)
To access ratings and relevant documents, click here.
Click here to view the report.