Fitch Downgrades & Assigns Distressed Recovery Ratings to Mezz Cap 2004-C2.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. downgrades and assigns Distressed Recovery (DR) ratings to Mezz Cap 2004-C2 commercial mortgage pass-through certificates Pass-Through Certificates (PTCs) are instruments that evidence the ownership of two or more Equipment Trust Certificates. In other words, Equipment Trust Certificates may be bundled into a pass-through structure as a means of diversifying the asset pool and/or increasing the size , series 2004-C2, as follows: --$0.5 million class J to 'C/DR5' from 'B-'. In addition, Fitch also affirms the following classes: --$34.4 million class A at 'AAA'; --Interest-only class X at 'AAA'; --$2.1 million class B at 'AA'; --$1.6 million class C at 'A'; --$2.6 million class D at 'BBB'; --$1.0 million class E at 'BBB-'; --$1.8 million class F at 'BBB-'; --$1.2 million class G at 'BB'; --$3.9 million class H at 'B'. Fitch does not rate the $2.9 million class K certificates. The rating downgrades are the result of Fitch projected losses on specially serviced loans. As of the January 2007 distribution date, the pool's aggregate certificate balance has decreased 0.6% to $52.1 million from $52.4 million at issuance. Three loans (4.4%) are in special servicing with potential losses expected to be absorbed by class K. This transaction consists of B notes subordinate to first mortgage loans securitized securitized Of, related to, or being debt securities that are secured with assets. For example, mortgage purchase bonds are secured by mortgages that have been purchased with the bond issue's proceeds. in separate CMBS CMBS See: Commercial Mortgage Backed Securities transactions. All loans are secured by traditional commercial real estate property types and are subject to standard intercreditor agreements that limit the rights and remedies of the B note holder in the event of default and upon refinancing. In a default, the B notes are likely to suffer higher losses due to their subordinate positions. The largest specially serviced loan (3.2%), an 826-unit multifamily property located in Dallas, TX, is more than 90 days delinquent. The most recent appraisal value The appraisal value is the value of a company based on a projection of future cashflows that its owners will receive from the company's assets as well as from its current and future operations. is below the balance of the A note. However, some recovery of principal is possible based on a pending legal action. The second largest specially serviced loan (0.7%), an industrial warehouse in Portage Portage (1, 2 pôr`təj; 3 pôr`tĭj). 1 Town (1990 pop. 29,060), Porter co., NW Ind., a suburb of Gary, on Lake Michigan; inc. 1959. , MI, is more than 90 days delinquent. The special servicer is currently negotiating a discounted payoff of the note with the borrower. Fitch does not anticipate any recovery of the B note. The third specially serviced loan (0.5%), a 99-unit multifamily property in Milwaukee, WI, is more than 90 days delinquent. The special servicer is currently working with the borrower to bring the loan current. Fitch's Distressed Recovery (DR) ratings, introduced in April 2006 across all sectors of structured finance, are designed to estimate recoveries on a forward-looking basis while taking into account the time value of money. For more information on Distressed Recovery ratings, see the full report ('Structured Finance Distressed Recovery Ratings'), which is available on the Fitch Ratings web site at www.fitchratings.com. 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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