Press Release|CMBS
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KBRA Affirms All Ratings for Benchmark 2023-B38

9 Apr 2026   |   New York

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KBRA affirms all of its outstanding ratings for Benchmark 2023-B38, a $651.3 million CMBS conduit transaction. The affirmations follow a surveillance review of the transaction, which has exhibited overall stable pool performance since securitization.

As of the March 2026 remittance period, there are no delinquent or specially serviced loans. However, one loan (5.0% of the pool balance) has a pari passu participation that transferred to the special in another CMBS transaction. KBRA identified four K-LOCs (21.8% of the pool balance), none of which have estimated losses. The K-LOCs are depicted in the table below:

Loss Given Default (000s) Loss Severity 2A3 1201 Third Avenue OF 60,000 9.2% N C Y Occupancy 01/30/2025 - - 7A3 National Warehouse & Distribution Portfolio IN 32,325 5.0% Y C Y Bankruptcy 02/04/2026 - - 10A1 Naugatuck Valley Shopping Center RT 26,334 4.0% N C Y Occupancy 03/11/2026 - - 13 Crowne Plaza Union Station LO 23,321 3.6% N C Y DSCR 03/26/2026 - - Total K-LOCs $141,981 21.8% $0 1. K-LOC Date is the date when the most recent K-LOC was initially determined. 2. Loss Given Default assumes a 100% probability of default (PD). KBRA may determine a lower PD when estimating losses to a transaction. KBRA Estimated 2 K-LOCs Prosp. ID Loan Name Prop Type Current In- Trust Balance (000s) % of Deal Balance SS Loan Status Mod (Y/N) Primary K-LOC Reason K-LOC Date 1
Source: KBRA

The transaction's WA KLTV is 93.0%, compared to 87.0% at last review and 87.8% at securitization. The WA KDSC is 1.66x,compared to 1.73x at last review and 1.69x at securitization.

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.

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.

About KBRA

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.

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