Fitch: U.S. CMBS Rating Actions Unlikely After KeyBank's Purchase of ORIX's Servicing Business.CHICAGO -- Fitch Ratings does not anticipate taking any rating actions on KeyBank Real Estate Capital's (KBREC) servicer ratings or on various Fitch-rated CMBS CMBS See: Commercial Mortgage Backed Securities transactions after yesterday's announcement that KeyCorp (Key), parent of KBREC, agreed to acquire the servicing business of ORIX Capital Markets, LLC (ORIX). Key will acquire the master and primary servicing rights, as well as the special servicing rights to a limited number of securitizations on which ORIX is named special servicer. The acquisition is expected to close by year-end 2005 and the integration of the servicing operations is expected by the end of the first quarter of 2006. It is Fitch's understanding, based on conversations with senior management at both KBREC and ORIX that the current ORIX servicing employees will continue to service the ORIX portfolio of CMBS transactions, including the 35 transactions Fitch rates, until the servicing unit is fully integrated with KBREC. Once the acquisition is complete, Fitch expects to withdraw ORIX's 'CMS2' master and 'CPS2' primary servicer ratings. Fitch does not expect this transaction in and of itself to have any ratings implications regarding ORIX's CMBS special servicer rating of 'CSS3'. Fitch rates KBREC as follows: -- Master servicer 'CMS1-'; -- Primary servicer 'CPS1-'; -- Special servicer 'CSS2+'. CMBS transactions in question are listed below: 1211 Avenue of the Americas ASC ASC Ambulatory surgery center, see there 1997 D5 Bear Stearns 1998 C1 CHASE 1998 1 COMM 1999 1 COMM 2000 C1 COMM 2002 FL6 COMM 2002 FL7 CSFB CSFB Credit Suisse First Boston CSFB Cyclically Shifted Filter Bank 1998 C1 DLJ 1998 CF1 DLJ 1998 CF2 DMARC DMARC Demarcation point (telephony; interface point between phone/telecommunications systems; usually between customer and provider) 1998 C1 FDIC FDIC See: Federal Deposit Insurance Corporation FDIC See Federal Deposit Insurance Corporation (FDIC). 1996 C1 FNMA 1996 M5 GS 2001 LIB JPM 1996 C2 JPM 1996 C3 JPM 1997 C4 JPM 2000 C9 JPM 2000 FL1 LBUBS 2000 C4 MCFI 1997 MC1 MCFI 1998 MC2 MLMI 1999 C1 MSDW 2002 IQ2 NationsBanc 1995 M2 Nations Link 1999 1 Nations Link 1999 2 Nations Link 1999 SL PMAC 1999 C1 RMF 1995-1 Salomon 2000 C2 Salomon 2000 NL1 SASCO SASCO ST (Singapore Technologies) Aviation Services Co. SASCO South African Students Congress SASCO Sudanese Aeronautical Services Co. Ltd 1994 C1 Scottsdale Fashion Square Fitch will closely monitor any impact the acquisition may have on KBREC's or ORIX's servicer ratings and on the ratings of the transactions referenced above. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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