Press Release|CMBS

KBRA Upgrades Three Ratings and Affirms All Other Ratings for WFCM 2015-C26

28 Aug 2024   |   New York

Contacts

KBRA upgrades the ratings of three classes of certificates, B, C, and PEX, and affirms all other outstanding ratings of WFCM 2015-C26, a $654.8 million conduit transaction. The rating actions follow a review of the transaction, which has exhibited an improvement in pool performance since KBRA’s last ratings adjustments in August 2020. The rating actions reflect the deleveraging of the transaction from loan payoffs, amortization, and defeasances, as well as the positive maturity profiles of a large majority of the remaining loans, all of which mature in the next three to six months.

As of the August 2024 remittance period, there are no delinquent or specially serviced loans in the transaction. KBRA identified six K-LOCs (7.7%), of which one (3.7%) has an estimated loss. The K-LOCs include one of the Top 10 loans:

  • 44 Plaza (4th largest, 3.7% of the pool, 36.2% estimated loss severity)

The remaining five K-LOCs, representing 4.0% of the pool balance, do not have estimated losses.

Excluding the K-LOC with an estimated loss, the transaction’s WA KLTV is 72.9%, which is lower than 80.9% at last review and 96.1% at KBRA’s last ratings adjustments in August 2020. The KDSC is 2.21x, compared to 2.02x at last review and 1.79x at KBRA’s last ratings change.

Details concerning the ratings changes are as follows:

  • Class B to AA (sf) from AA- (sf)
  • Class C to A (sf) from A- (sf)
  • Class PEX to A (sf) from A- (sf)

To access rating 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) is a full-service credit rating agency 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 by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1005688

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