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SARASOTA MALL FINANCE CORP. $37 MILLION CLASS A RATED 'AA' BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Jan. 7 /PRNewswire/ -- Sarasota Mall Finance Corp.'s $37 million 6.34% Class A Collateralized Notes Due 1999 are rated "AA"; its $4 million 6.63% Class B Subordinated Collateralized Notes Due 1999 are rated "A" by Fitch. The notes mature in 1999 but can be extended until 2004 unless a majority of the holders vote against an extension. The owners of Sarasota Mall Finance Corp. are advised by Heitman Advisory Corp., an investment advisory firm that advises pension fund clients on $7 billion of investments in real estate.
 The security is Sarasota Square Mall, a 900,000 square foot regional mall located in Sarasota, Fla., which has four department stores serving as anchors. The rating reflects the strong debt service coverage on the "AA" rated issue of 1.74x, based on a hypothetical "stressed" 9% refinance rate, and 2.47x based upon the actual interest rate. On the "A" issue, similar figures are 1.57x and 2.22x, using Fitch's adjustment to historical income. The rating also reflects the overall strength of the underlying collateral, the management team and ownership group, as well as Fitch's confidence in the legal and financial structure of the transaction. Transfer of management or ownership (with certain exceptions) requires a re-affirmation of the rating. Concerns included the fact that the collateral is a single asset and thus lacks diversity, and a small amount of deferred maintenance at the property. A reserve was established to address the deferred maintenance issues.
 The notes were sold pursuant to the Indenture dated Jan. 6, 1994. State Street Bank and Trust Co. (rated "AA" by Fitch) will act as Trustee, and The First National Bank of Chicago, will act as servicer.
 -0- 1/7/94
 /CONTACT: John Bonfiglio, 212-908-0517, or Ron Wechsler, 212-908-0532, both of Fitch/


CO: Sarasota Mall Finance Corp. ST: Florida IN: SU: RTG

MP -- NY024 -- 0086 01/07/94 10:49 EST
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Publication:PR Newswire
Date:Jan 7, 1994
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