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KBRA Downgrades Three Ratings and Affirms All Other Ratings for UBS 2018-C10

8 May 2026   |   New York

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KBRA downgrades the ratings of three classes of certificates and affirms all other outstanding ratings of UBS 2018-C10, a $632.9 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited an increase in estimated losses since last review. The largest loan in the pool, NYC REIT Mixed-Use Portfolio (7.9% of the pool balance), was the primary contributor to the transaction’s increase in estimated losses following the loss of tenants at the collateral property and the filing of a foreclosure complaint in January 2026.

As of the April 2026 remittance period, there are four specially serviced assets (12.1%), including one REO asset (3.1%) and two (8.4%) that are in foreclosure. KBRA identified six K-LOCs (14.5%), including the specially serviced assets. Of the K-LOCs, three (11.5%) have estimated losses. The K-LOCs are depicted in the table below.

Loss Given Default (000s) Loss Severity 1 NYC REIT Mixed-Use Portfolio MU $50,000 7.9% Y FCL N Foreclosure 04/30/2025 $27,279 54.6% 11 Port Atwater Parking OT $19,679 3.1% Y REO Y REO 01/08/2021 $11,874 60.3% 21 Sleep Inn SeaTac Airport LO $10,877 1.7% N C Y DSCR 06/04/2025 - - 36 La Quinta Inn & Suites - Duluth LO $4,756 0.8% N C Y DSCR 04/09/2026 - - 47 93 Grand Street MU $3,600 0.6% Y C N Specially Serviced 03/21/2023 - - 50 CVS Goshen RT $3,000 0.5% Y FCL N Foreclosure 02/13/2020 $666 22.2% Total K-LOCs $91,912 14.5% $39,820 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

Excluding the K-LOCs with estimated losses, the transaction’s WA KLTV is 109.4%, compared to 105.1% at KBRA’s last ratings change in May 2025 and 103.2% at securitization. The KDSC is 1.50x, compared to 1.53x at KBRA’s last ratings change and 1.61x at securitization.

Details concerning the classes with ratings changes are as follows:

  • Class D-RR to B (sf) from BB- (sf)
  • Class E-RR to CCC (sf) from B- (sf)
  • Class F-RR to CC (sf) from CCC (sf)

To access ratings and relevant documents, click here.

Click here to view the report.

Related Publication

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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