Fitch Downgrades 1 Class of MLMI, Series 1997-C2; Assigns Outlooks.CHICAGO -- Fitch Ratings downgrades one class of Merrill Lynch Mortgage Investors, Inc.'s (MLMI MLMI Merrill Lynch Mortgage Investors, Inc. ) commercial mortgage pass-through certificates, series 1997-C2 as follows: --$12.0 million class H to 'CC/DR4' from 'CCC/DR3. In addition, Fitch affirms and assigns Rating Outlooks to the following classes: --Interest-only class IO at 'AAA'; --$37.7 million class F at 'BBB+'; Outlook Stable; and --$6.9 million class G at 'BB+'; Outlook Negative. Classes A-1, A-2, B, C and D have paid in full. The $12 million class E is not rated by Fitch. The balance of class J has been reduced to zero as a result of losses on disposed loans. The rating of class J remains at 'C/DR6'. The Rating Outlooks reflect the likely direction of any rating changes over the next one to two years. Two loans (8%) are considered Fitch loans of concern, of which one is currently in special servicing (3.2%). The downgrade of class H is due to expected losses on the specially serviced loan. The loan is secured by a 58,705 square foot (sf) retail property in Hickory, NC. The borrower has been unable to secure refinancing capital and the special servicer foreclosed on the asset in December 2008. Thirteen loans remain in the pool. The largest loan (22.8%) matures in December, 2009. The loan is secured by a 321,623 sf retail center in Tucker, GA. As of January 2009, the property is 87.6% occupied. Approximately 4% of the net rentable area (NRA NRA (National Rifle Association of America) organization that encourages sharpshooting and use of firearms for hunting. [Am. Pop. Culture: NCE, 1895] See : Hunting ) expires in 2009, and 15% is scheduled to expire in 2010. The net operating income (NOI NOI Net Operating Income NOI Notice of Intent NOI Nation of Islam NOI Notice of Inquiry NOI Neuro Orthopaedic Institute NOI New Organizing Institute NOI Notice of Interest NOI No Offense Intended NOI National Olympiad in Informatics ) debt service coverage ratio The debt service coverage ratio (DSCR), or debt service ratio, is the ratio of net operating income to debt payments on a piece of investment real estate. It is a popular benchmark used in the measurement of an income-producing property’s ability to produce (DSCR DSCR See: Debt-service coverage ratio ) as of June 2008 was 1.27 times (x). The remaining loans have mortgage rates that range from 7.1% to 9.5%, with a weighted average (WA) of 7.6%. The pool's WA Fitch loan to value is 61.4%. 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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