Fitch Ratings has issued a pre-sale report on FREMF 2011-K10 multifamily mortgage pass-through certificates.
Fitch expects to rate the transaction as follows:
- $313.82 million Class A-1 rated AAAsf/LS1;
- $695.69 million Class A-2 rated AAAsf/LS1;
- $1 billion Class X-1 rated AAAsf; and
- $68.47 million Class B rated A-sf/LS3.
The expected ratings on the Class A-1, A-2 and X1 certificates are based on information provided by the issuer as of Jan. 11 and do not extend beyond that date. Fitch adds that the expected ratings do not take into account any guarantee by Freddie Mac and will not be monitored on an ongoing basis.
The expected ratings on the Class B certificate will be monitored on an ongoing basis.
The certificates represent the beneficial ownership in the trust, the primary assets of which are 76 loans secured by 81 multifamily properties having an aggregate principal balance of approximately $1.17 billion as of the cutoff date. The loans were originated by 17 lenders, including Berkadia Commercial Mortgage LLC, CBRE Capital Markets Inc., Holliday Fenoglio Fowler LP, NorthMarq Capital, LLC, Walker & Dunlop, LLC, and Wells Fargo Bank NA.
The transaction is less concentrated by loan and sponsor than previous comparable transactions from the issuer, Fitch says. The largest 10 loans account for 36.5% of the pool, and the largest 15 account for 46.3%. There is no material sponsor concentration across multiple loans.
SOURCE: Fitch Ratings
