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KBRA Downgrades Four Ratings and Affirms All Other Ratings for BACM 2016-UBS10

15 Apr 2026   |   New York

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KBRA downgrades four ratings and affirms all other ratings for BACM 2016-UBS10, a $353.3 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has had an increase in estimated losses since KBRA's last ratings change in April 2025. The downgrades are based on the resulting loss-adjusted C/E levels. If realized, KBRA’s estimated losses would reduce the principal balances of classes G and H to zero and class E by more than 50.0%.

As of the March 2026 remittance period, there are seven specially serviced assets (50.3%), of which four (25.2%) are matured non-performing. KBRA identified 11 K-LOCs (57.1%), including the specially serviced assets. Of the K-LOCs, six (36.1%) have estimated losses. The K-LOCS are depicted in the table below:

K-LOCs Loss Given Default (000s) Loss Severity 3 Belk Headquarters OF $50,463 14.3% Y C N Specially Serviced 07/29/2021 $27,370 54.2% 8 Twenty Ninth Street Retail RT $35,000 9.9% Y NPM N Specially Serviced 07/08/2025 $1,845 5.3% 7 2100 Ross OF $30,830 8.7% Y NPM N Specially Serviced 05/03/2022 $237 0.8% 11 Grove City Premium Outlets RT $24,000 6.8% Y NPM Y Forbearance 05/30/2025 $5,234 21.8% 18 Princeton Pike Corporate Center OF $19,851 5.6% Y NPM Y Specially Serviced 04/20/2021 $12,714 64.0% 23 Burbank Retail Center RT $9,775 2.8% Y C N Specially Serviced 09/28/2017 $2,233 22.8% 25 The Granville RT $9,139 2.6% N C N Maturity 07/28/2025 - - 28 Crowne Plaza - Indianapolis, IN LO $7,898 2.2% Y PM N NP Maturity Balloon 02/12/2026 $1,267 16.0% 30 1300 Virginia Drive OF $7,148 2.0% N C N Maturity 09/12/2024 - - 41 Mulberry and Lemay Crossing RT $4,499 1.3% N C N Lease Rollover 04/01/2025 - - 48 Clearfield Plaza RT $3,307 0.9% N NPM N NP Maturity Balloon 04/15/2026 - - Total K-LOCs $201,910 57.1% $50,900 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 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

Details concerning the classes with a ratings change are as follows:

  • Class E to CCC (sf) from B- (sf)
  • Class F to CC (sf) from CCC (sf)
  • Class X-E to CCC (sf) from B- (sf)
  • Class X-F 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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