KBRA Downgrades Six Ratings and Affirms All Other Ratings for Benchmark 2020-B20
15 Oct 2024 | New York
KBRA downgrades the ratings of six classes of certificates and affirms all other outstanding ratings of Benchmark 2020-B20, an $891.8 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which exhibited an increase in KBRA's estimated losses primarily attributable to one asset (2.7% of the pool) that became REO since last review. In addition, three office loans among the top ten 12.6% have been assigned KPOs of Underperform.
As of the September 2024 remittance period, there is one specially serviced asset (2.7%), which is REO. KBRA identified four K-LOCs (10.3%), including the REO asset. These include:
One of the top 10 loans (3.6%):
- 2010 South Lamar (10th largest, 3.6% of the pool, 21.6% estimated loss severity)
One additional K-LOC has an estimated loss:
- Troy Technology Park (2.7%, 52.2%)
The remaining two K-LOCs do not have an estimated loss and represent 4.0% of the pool balance.
Excluding the K-LOCs with estimated losses, the transaction’s WA KLTV is 98.4%, compared to 98.5% at last review and 96.8% at securitization. The WA KDSC is 2.50x, compared to 2.65x at last review and 2.60x at securitization.
Details concerning the classes with ratings changes are as follows:
- Class F to BB (sf) from BB+ (sf)
- Class G to B (sf) from BB- (sf)
- Class H to CCC (sf) from B- (sf)
- Class X-F to BB (sf) from BB+ (sf)
- Class X-G to B (sf) from BB- (sf)
- Class X-H to CCC (sf) from B- (sf)
To access rating and relevant documents, click here.
Click here to view the report.