Moody's Upgrades Five Classes of GE Capital Commercial Mortgage Corporation, Series 2003-C1
Approximately $1.03 Million of Structured Securities Affected
New York, February 19, 2008 -- Moody's Investors Service upgraded the ratings of five classes and affirmed
the ratings of fifteen classes of GE Capital Commercial Mortgage Corporation,
Commercial Mortgage Pass-Through Certificates, Series 2003-C1
as follows:
Class A-1, $5,381,935, affirmed
at Aaa
Class A-1A, $184,085,286, affirmed
at Aaa
Class A-2, $108,049,000, affirmed
at Aaa
Class A-3, $156,269,000, affirmed
at Aaa
Class A-4, $367,323,000, affirmed
at Aaa
Class X-1, Notional, affirmed at Aaa
Class X-2, Notional, affirmed at Aaa
Class B, $41,611,000, affirmed at Aaa
Class C, $16,347,000, affirmed at Aaa
Class D, $25,264,000, upgraded to Aaa from
Aa1
Class E, $16,347,000, upgraded to Aa2 from
Aa3
Class F, $10,403,000, upgraded to Aa3 from
A1
Class G, $16,347,000, upgraded to A2 from
A3
Class H, $16,347,000, upgraded to Baa1
from Baa2
Class J, $25,264,000, affirmed at Ba1
Class K, $8,916,000, affirmed at Ba2
Class L, $7,431,000, affirmed at Ba3
Class M, $2,972,000, affirmed at B1
Class N, $10,403,000, affirmed at B2
Class O, $5,944,000, affirmed at B3
As of the February, 11, 2008 distribution date, the
transaction's aggregate principal balance has decreased by 12.2%
to $1.04 billion from $1.19 billion at securitization.
The Certificates are collateralized by 122 loans, ranging in size
from less than 1.0% to 4.0% of the pool,
with the top ten loans representing 24.0% of the pool.
Twenty-eight loans, representing 30.5% of the
pool, have defeased and been replaced with U.S. Government
securities. Three loans have been liquidated from the trust resulting
in aggregate realized losses of approximately $3.2 million.
There are currently no loans in special servicing. Fifteen loans,
representing 14.5% of the pool, are on the master
servicer's watchlist.
Moody's was provided with partial or full year 2006 operating results
for 100.0% of the pool. Moody's weighted average
loan to value ratio ("LTV") for the conduit component is 88.3%,
compared to 89.0% at Moody's last full review in October
2006 and compared to 90.8% at securitization. The
upgrade of Classes D, E, F, G and H is due to increased
defeasance and credit support and overall stable conduit performance.
The shadow rated loan is the Landmark Atrium III Loan ($40.6
million 3.9%), which is secured by a 445,000
square foot office building located in Secaucus, New Jersey.
As of March, 2007, the property was 40.4% leased
compared to 83.0% at last review and compared to 91.3%
at securitization. The largest tenant is Buck Consultants,
Inc. occupying 28% of NRA with the lease expiring July 2011.
The Buck Consultants space is leased at $30 per square foot,
while rents at the subject average $22.8 per square foot.
Moody's current shadow rating is below investment grade compared to Baa3
at last review and at securitization.
The top three conduit loans represent 9.9% of the pool.
The largest conduit loan is the 801 Market Street Loan ($41.2
million -- 4.0%), which is secured by a 370,000
square foot office condominium situated within a one million square foot
office building in Philadelphia, Pennsylvania. The condominium
includes part of the basement, ground floor retail and all of floors
7 through 13. The office building was built in 1928 and is located
in the Market Street East submarket of the Philadelphia CBD. Average
in place rent and occupancy at securitization and currently is $16.60
and 75.0% and $19.50 and 94.0%,
respectively. The largest tenant is the GSA, occupying 41%
of NRA with the lease expiring in December 2012. Moody's LTV is
in excess of 100.0% compared to 98.4% at last
review and 96.5% at securitization.
The second largest conduit loan is the Centennial Center Loan ($39.2
million -- 3.8%), which is secured by
a 234,000 square foot community center located in Las Vegas,
Nevada. The property was built between 2001 and 2002 and is situated
12 miles northwest of the Las Vegas Strip. This property is anchored
by Home Depot (30% of NRA, lease expiring in January,
2031), Circuit City (9% of NRA, lease expiring in January,
2022) and Ross Stores (8% of NRA, lease expiring in January,
2017). It is also shadow anchored by Wal-Mart and Sam's
Club. Moody's LTV is 96.4% compared to 97.2%
at last review and 103.9% at securitization.
The third largest conduit loan is the Laguna Gateway Loan ($23.4
million -- 2.2%), which is secured by a 207,500
square foot retail center located in Elk Grove, California.
Moody's LTV is 70.7% compared to 71.4% at
last review and 82.8% at securitization.
New York
Michael M. Gerdes
Senior Vice President
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
New York
Stewart Rubin
VP - Senior Credit Officer
Structured Finance Group
Moody's Investors Service
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653