Please Note
We brought you to this page based on your search query. If this isn't what you are looking for, you can continue to Search Results for ""
The maximum number of items you can export is 3,000. Please reduce your list by using the filtering tool to the left.
Close
Close
Email Research
Recipient email addresses will not be used in mailing lists or redistributed.
Recipient's
Email

Use semicolon to separate each address, limit to 20 addresses.
Enter the
characters you see
Close
Email Research
Thank you for your interest in sharing Moody's Research. You have reached the daily limit of Research email sharings.
Close
Thank you!
You have successfully sent the research.
Please note: some research requires a paid subscription in order to access.
Already a customer?
LOG IN
Don't want to see this again?
REGISTER
OR
Accept our Terms of Use to continue to Moodys.com:

PLEASE READ AND SCROLL DOWN!

By clicking “I AGREE” [at the end of this document], you indicate that you understand and intend these terms and conditions to be the legal equivalent of a signed, written contract and equally binding, and that you accept such terms and conditions as a condition of viewing any and all Moody’s inform​ation that becomes accessible to you [after clicking “I AGREE”] (the “Information”).   References herein to “Moody’s” include Moody’s Corporation, Inc. and each of its subsidiaries and affiliates.

Terms of One-Time Website Use

1.            Unless you have entered into an express written contract with Moody’s to the contrary, you agree that you have no right to use the Information in a commercial or public setting and no right to copy it, save it, print it, sell it, or publish or distribute any portion of it in any form.               

2.            You acknowledge and agree that Moody’s credit ratings: (i) are current opinions of the future relative creditworthiness of securities and address no other risk; and (ii) are not statements of current or historical fact or recommendations to purchase, hold or sell particular securities.  Moody’s credit ratings and publications are not intended for retail investors, and it would be reckless and inappropriate for retail investors to use Moody’s credit ratings and publications when making an investment decision.  No warranty, express or implied, as the accuracy, timeliness, completeness, merchantability or fitness for any particular purpose of any Moody’s credit rating is given or made by Moody’s in any form whatsoever.          

3.            To the extent permitted by law, Moody’s and its directors, officers, employees, representatives, licensors and suppliers disclaim liability for: (i) any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with use of the Information; and (ii) any direct or compensatory damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud or any other type of liability that by law cannot be excluded) on the part of Moody’s or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with use of the Information.

4.            You agree to read [and be bound by] the more detailed disclosures regarding Moody’s ratings and the limitations of Moody’s liability included in the Information.     

5.            You agree that any disputes relating to this agreement or your use of the Information, whether sounding in contract, tort, statute or otherwise, shall be governed by the laws of the State of New York and shall be subject to the exclusive jurisdiction of the courts of the State of New York located in the City and County of New York, Borough of Manhattan.​​​

I AGREE
Rating Action:

Moody's Affirms Seven and Downgrades 12 CMBS Classes of LB-UBS 2005-C1

29 Jul 2010

Approximately $1.2 Billion of Structured Securities Affected

New York, July 29, 2010 -- Moody's Investors Service (Moody's) affirmed the ratings of seven classes and downgraded 12 classes of LB-UBS Commercial Mortgage Trust 2005-C1, Commercial Mortgage Pass-Through Certificates, Series 2005-C1. The downgrades are due to higher expected losses for the pool resulting from realized and anticipated losses from specially serviced and highly leveraged watchlisted loans and increased credit quality dispersion.

The affirmations are due to key rating parameters, including Moody's loan to value (LTV) ratio, Moody's stressed DSCR and the Herfindahl Index (Herf), remaining within acceptable ranges.

On July 21, 2010 Moody's placed 12 classes of this transaction on review for possible downgrade. This action concludes our review of this transaction. The rating action is the result of Moody's on-going surveillance of commercial mortgage backed securities (CMBS) transactions.

As of the July 16, 2010 distribution date, the transaction's aggregate certificate balance has decreased by approximately 22% to $1.2 billion from $1.5 billion at securitization. The Certificates are collateralized by 76 mortgage loans ranging in size from less than 1% to 13% of the pool, with the top 10 non-defeased loans representing 65% of the pool. The pool includes four loans with investment grade underlying ratings, representing 31% of the pool.

Twenty loans, representing 17% of the pool, are on the master servicer's watchlist. The watchlist includes loans which meet certain portfolio review guidelines established as part of the CRE Finance Council (CREFC; formerly Commercial Mortgage Securities Association) monthly reporting package. As part of our ongoing monitoring of a transaction, Moody's reviews the watchlist to assess which loans have material issues that could impact performance.

Four loans have been liquidated from the pool since securitization, resulting in an aggregate $6.6 million loss (30% loss severity on average). Currently seven loans, representing 7% of the pool, are in special servicing. The largest specially serviced loan is the Atlantic Building Loan ($28.2 million -- 2.4% of the pool), which is secured by a 315,993 square foot (SF) office building located in Philadelphia, Pennsylvania. The loan was transferred to special servicing in April 2010 due to monetary default. The property was 74% leased as of January 2010 and performance has declined since securitization. All of the remaining six specially serviced loans are real estate owned (REO) or in the process of foreclosure. Moody's estimates an aggregate $29.1 million loss for the specially serviced loans (33% expected loss on average).

In addition to recognizing losses from specially serviced loans, Moody's has assumed a high default probability on seven loans, representing 5% of the pool, due to refinancing risk or performance issue. Moody's estimates a $15.9 million aggregate expected loss for these troubled loans (28% expected loss on average based on overall 38% loss severity and 75% overall default probability). Moody's rating action recognizes potential uncertainty around the timing and magnitude of loss from these troubled loans.

Moody's was provided with full-year 2008 and partial or full-year 2009 operating results for 99% and 88% of the pool, respectively. Excluding specially serviced and troubled loans, Moody's weighted average LTV ratio is 97% compared to 96% at Moody's prior review. Although the overall LTV is relatively unchanged, the pool has experienced increased credit quality dispersion. Based on Moody's analysis, 50% of the conduit pool has an LTV greater than 100% compared to 37% at last review.

Excluding specially serviced and troubled loans, Moody's actual and stressed DSCR are 1.46X and 1.03X, respectively, compared to 1.45X and 1.21X at last review. Moody's actual DSCR is based on Moody's net cash flow (NCF) and the loan's actual debt service. Moody's stressed DSCR is based on Moody's NCF and a 9.25% stressed rate applied to the loan balance.

Moody's uses a variation of Herf to measure diversity of loan size, where a higher number represents greater diversity. Loan concentration has an important bearing on potential rating volatility, including the risk of multiple-notch downgrades under adverse circumstances. The credit neutral Herf score is 40. The pool has a Herf of 15 compared to 20 at last review.

The largest loan with an underlying rating is the 11 West 42nd Street Loan ($155.7 million -- 13.0% of the pool), which is secured by a 877,138 SF Class A office building located in the Grand Central submarket of New York City. The property is also encumbered by a $48.5 million mezzanine loan. The largest tenants include CIT (17% of the net rentable area (NRA); lease expiration October 2021) and Empire Healthchoice (12% of the NRA; lease expiration December 2015). As of April 1, 2010 the property was 96% leased, essentially the same as at year end 2008. The loan was interest only for the first three years. Moody's underlying rating and stressed DSCR are Baa2 and 1.49X, respectively, compared to Baa2 and 1.40X at last review.

The second largest loan with an underlying rating is the Mall Del Norte Loan ($113.4 million -- 9.5% of the pool), which is secured by the borrower's interest in a 1.2 million SF regional mall (683,493 SF as collateral) located in Laredo, Texas. The largest tenants include Dillard's, Inc. (13% of the NRA; lease expiration December 2035), Sears, Roebuck and Co (10% of the NRA; lease expiration December 2035) and JC Penny Co. Inc. (10% of the NRA; lease expiration December 2035). As of March 30, 2010 the property was 99% leased, the same as at year end 2008. The loan is interest only for its entire 10 year term. Moody's underlying rating and stressed DSCR are Baa3 and 1.36X, respectively, compared to Baa3 and 1.37X at last review.

The third largest loan with an underlying rating is the IBM Gaithersburg Loan ($46.4 million -- 3.9% of the pool), which is secured by a 393,000 SF office building located in Gaithersburg, Maryland. The building is 100% leased to IBM Corporation (senior unsecured rating A1; stable outlook) through March 2016 and functions as a mission critical data center. The loan is interest only for its entire seven year term. Moody's underlying rating and stressed DSCR are A1 and 1.47X, respectively, compared to A1 and 1.48X at last review.

The fourth largest loan with an underlying rating is the United States District Courthouse Loan ($15.7 million-- 1.3% of the pool), which is secured by a 46,813 SF office building located in El Centro, California. The building is 100% leased to the US Magistrate Courthouse through September 2019. Moody's underlying rating and stressed DSCR are Aaa and 1.49X, respectively, compared to Aaa and 1.45X at last review.

The top three conduit loans represent 27% of the pool. The largest conduit loan is the 2100 Kalakaua Avenue Loan ($130.0 million -- 10.9% of the pool), which is secured by a 92,671 SF anchored retail shopping center located in Honolulu, Hawaii. The property is also encumbered by a $15.0 million mezzanine loan. The largest tenants include Gucci (20% of the NRA; lease expiration November 2027), Chanel (20% of the NRA; lease expiration October 2027) and Tiffany & Co. (12% of the NRA; lease expiration October 2027). The property was 85% leased as of December 2009. Moody's LTV and stressed DSCR are 81% and 1.06X, respectively, compared to 84% and 1.03X at last review.

The second largest conduit loan is the Wilshire Rodeo Plaza Portfolio Loan ($112.7 million -- 9.4% of the pool), which is secured by a 208,145 SF office building and a 56,855 SF anchored retail building located in Beverly Hills, California. The largest tenants include United Talent Agency (30% of the NRA; lease expiration August 2017), UBS Financial Services (27% of the NRA; lease expiration February 2015) and Merrill Lynch (14% of the NRA; lease expiration February 2015). The property was 97% leased as of December 2009. Moody's LTV and stressed DSCR are 111% and 0.83X, respectively, compared to 105% and 0.87X at last review.

The third largest conduit loan is the Macquarie DDR Portfolio Loan ($85.0 million -- 7.1% of the pool), which is secured by four retail properties located in Texas, Colorado and South Carolina. The four community centers contain approximately 1.9 million SF (collateral is approximately 799,898 SF). Approximately 136,715 SF of the portfolio is subject to ground leases. Moody's LTV and stressed DSCR are 102% and 0.93X, respectively, compared to 99% and 0.94X at last review.

Moody's review will focus on potential losses from specially serviced and watchlisted loans and the performance of the overall pool.

Moody's rating action is as follows:

-Class A-2, $40,075,679, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class X-CL, Notional, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class X-CP, Notional, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class A-3, $162,000,000, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class A-AB, $51,319,749, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class A-4, $531,842,000, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class A-1A, $112,724,874, affirmed at Aaa; previously assigned Aaa on 2/10/2005

-Class A-J, $102,769,000, downgraded to Aa2 from Aaa, previously placed on review for possible downgrade on 7/21/2010

-Class B, $26,704,000, downgraded to Aa3 from Aa1, previously placed on review for possible downgrade on 7/21/2010

-Class C, $26,704,000, downgraded to A2 from Aa2, previously placed on review for possible downgrade on 7/21/2010

-Class D, $19,073,000, downgraded to A3 from Aa3, previously placed on review for possible downgrade on 7/21/2010

-Class E, $24,796,000, downgraded to Baa2 from A2, previously placed on review for possible downgrade on 7/21/2010

-Class F, $15,259,000, downgraded to Baa3 from A3, previously placed on review for possible downgrade on 7/21/2010

-Class G, $17,167,000, downgraded to Ba3 from Baa1, previously placed on review for possible downgrade on 7/21/2010

-Class H, $17,166,000, downgraded to B3 from Baa2, previously placed on review for possible downgrade on 7/21/2010

-Class J, $22,889,000, downgraded to Caa3 from Ba1, previously placed on review for possible downgrade on 7/21/2010

-Class K, $5,717,000, downgraded to Ca from Ba2, previously placed on review for possible downgrade on 7/21/2010

-Class L, $7,623,000, downgraded to C from Ba3, previously placed on review for possible downgrade on 7/21/2010

-Class M, $3,811,000, downgraded to C from B1, previously placed on review for possible downgrade on 7/21/2010

Moody's monitors transactions on both a monthly basis through two sets of quantitative tools -- MOST® (Moody's Surveillance Trends) and CMM on Trepp -- and on a periodic basis through a full review. Moody's prior full review is summarized in a press release dated July 9, 2009.

Due to the pool's low Herf score, the two principal methodologies used in monitoring this transaction are "CMBS: Moody's Approach to Rating U.S. Conduit Transactions" published on September 15, 2000 and "CMBS: Moody's Approach to Rating Large Loan/Single Borrower Transactions" published on July 7, 2000. Both reports are available on www.moodys.com in the Rating Methodologies sub-directory under the Research & Ratings tab. Other methodologies and factors that may have been considered in the process of rating this issuer can also be found in the Rating Methodologies sub-directory on Moody's website. In addition, Moody's publishes a weekly summary of structured finance credit, ratings and methodologies, available to all registered users of our website, at www.moodys.com/SFQuickCheck.

New York
Sandra Ruffin
VP - Senior Credit Officer
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653

New York
Michael M. Gerdes
Senior Vice President
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653

Moody's Affirms Seven and Downgrades 12 CMBS Classes of LB-UBS 2005-C1
No Related Data.
© 2018 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). All rights reserved.

CREDIT RATINGS ISSUED BY MOODY'S INVESTORS SERVICE, INC. AND ITS RATINGS AFFILIATES (“MIS”) ARE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MOODY’S PUBLICATIONS MAY INCLUDE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES. MOODY’S DEFINES CREDIT RISK AS THE RISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL, FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT. CREDIT RATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CREDIT RATINGS AND MOODY’S OPINIONS INCLUDED IN MOODY’S PUBLICATIONS ARE NOT STATEMENTS OF CURRENT OR HISTORICAL FACT. MOODY’S PUBLICATIONS MAY ALSO INCLUDE QUANTITATIVE MODEL-BASED ESTIMATES OF CREDIT RISK AND RELATED OPINIONS OR COMMENTARY PUBLISHED BY MOODY’S ANALYTICS, INC. CREDIT RATINGS AND MOODY’S PUBLICATIONS DO NOT CONSTITUTE OR PROVIDE INVESTMENT OR FINANCIAL ADVICE, AND CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PURCHASE, SELL, OR HOLD PARTICULAR SECURITIES. NEITHER CREDIT RATINGS NOR MOODY’S PUBLICATIONS COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PARTICULAR INVESTOR. MOODY’S ISSUES ITS CREDIT RATINGS AND PUBLISHES MOODY’S PUBLICATIONS WITH THE EXPECTATION AND UNDERSTANDING THAT EACH INVESTOR WILL, WITH DUE CARE, MAKE ITS OWN STUDY AND EVALUATION OF EACH SECURITY THAT IS UNDER CONSIDERATION FOR PURCHASE, HOLDING, OR SALE.

MOODY’S CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY’S CREDIT RATINGS OR MOODY’S PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER.

ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY’S PRIOR WRITTEN CONSENT.

CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT COULD RESULT IN THEM BEING CONSIDERED A BENCHMARK.

All information contained herein is obtained by MOODY’S from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, all information contained herein is provided “AS IS” without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY’S is not an auditor and cannot in every instance independently verify or validate information received in the rating process or in preparing the Moody’s publications.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability to any person or entity for any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with the information contained herein or the use of or inability to use any such information, even if MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers is advised in advance of the possibility of such losses or damages, including but not limited to: (a) any loss of present or prospective profits or (b) any loss or damage arising where the relevant financial instrument is not the subject of a particular credit rating assigned by MOODY’S.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability for any direct or compensatory losses or damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud, willful misconduct or any other type of liability that, for the avoidance of doubt, by law cannot be excluded) on the part of, or any contingency within or beyond the control of, MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with the information contained herein or the use of or inability to use any such information.

NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY SUCH RATING OR OTHER OPINION OR INFORMATION IS GIVEN OR MADE BY MOODY’S IN ANY FORM OR MANNER WHATSOEVER.

Moody’s Investors Service, Inc., a wholly-owned credit rating agency subsidiary of Moody’s Corporation (“MCO”), hereby discloses that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by Moody’s Investors Service, Inc. have, prior to assignment of any rating, agreed to pay to Moody’s Investors Service, Inc. for appraisal and rating services rendered by it fees ranging from $1,500 to approximately $2,500,000. MCO and MIS also maintain policies and procedures to address the independence of MIS’s ratings and rating processes. Information regarding certain affiliations that may exist between directors of MCO and rated entities, and between entities who hold ratings from MIS and have also publicly reported to the SEC an ownership interest in MCO of more than 5%, is posted annually at www.moodys.com under the heading “Investor Relations — Corporate Governance — Director and Shareholder Affiliation Policy.”

Additional terms for Australia only: Any publication into Australia of this document is pursuant to the Australian Financial Services License of MOODY’S affiliate, Moody’s Investors Service Pty Limited ABN 61 003 399 657AFSL 336969 and/or Moody’s Analytics Australia Pty Ltd ABN 94 105 136 972 AFSL 383569 (as applicable). This document is intended to be provided only to “wholesale clients” within the meaning of section 761G of the Corporations Act 2001. By continuing to access this document from within Australia, you represent to MOODY’S that you are, or are accessing the document as a representative of, a “wholesale client” and that neither you nor the entity you represent will directly or indirectly disseminate this document or its contents to “retail clients” within the meaning of section 761G of the Corporations Act 2001. MOODY’S credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securities of the issuer or any form of security that is available to retail investors. It would be reckless and inappropriate for retail investors to use MOODY’S credit ratings or publications when making an investment decision. If in doubt you should contact your financial or other professional adviser.

Additional terms for Japan only: Moody's Japan K.K. (“MJKK”) is a wholly-owned credit rating agency subsidiary of Moody's Group Japan G.K., which is wholly-owned by Moody’s Overseas Holdings Inc., a wholly-owned subsidiary of MCO. Moody’s SF Japan K.K. (“MSFJ”) is a wholly-owned credit rating agency subsidiary of MJKK. MSFJ is not a Nationally Recognized Statistical Rating Organization (“NRSRO”). Therefore, credit ratings assigned by MSFJ are Non-NRSRO Credit Ratings. Non-NRSRO Credit Ratings are assigned by an entity that is not a NRSRO and, consequently, the rated obligation will not qualify for certain types of treatment under U.S. laws. MJKK and MSFJ are credit rating agencies registered with the Japan Financial Services Agency and their registration numbers are FSA Commissioner (Ratings) No. 2 and 3 respectively.

MJKK or MSFJ (as applicable) hereby disclose that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by MJKK or MSFJ (as applicable) have, prior to assignment of any rating, agreed to pay to MJKK or MSFJ (as applicable) for appraisal and rating services rendered by it fees ranging from JPY200,000 to approximately JPY350,000,000.

MJKK and MSFJ also maintain policies and procedures to address Japanese regulatory requirements.