Market Overview

Fitch Downgrades 1 Class of J.P. Morgan Chase Commercial Mortgage Securities Corp., Ser 2001-CIBC1

NEW YORK--(BUSINESS WIRE)--

Fitch Ratings has downgraded one and affirmed five classes of J.P. Morgan Chase Commercial Mortgage Securities Corp. series 2001-CIBC1 commercial mortgage pass-through certificates. A detailed listing of rating actions follows at the end of this release.

RATING SENSITIVITY/KEY RATING DRIVERS

Fitch modeled losses of 7.1% of the remaining pool; expected losses on the original pool balance total 6%, including losses already incurred. The pool has experienced $58.3 million (5.8% of the original pool balance) in realized losses to date. Fitch has designated 3 loans (35.6%) as Fitch Loans of Concern, which includes one specially serviced asset (15.9%).

As of the January 2013 distribution date, the pool's aggregate principal balance has been reduced by 97% to $30.1 million from $1 billion at issuance. Per the servicer reporting, one loan (2% of the pool) is defeased. Interest shortfalls are currently affecting classes H through NR.

The downgrade to the class G notes reflects the increased event risk of a significant loss on a loan as the pool has become more concentrated with only nine loans remaining.

The largest contributor to expected losses is a 63,059 square foot (sf) retail strip center (15.9% of the pool) located in Tupelo, MS. The loan transferred to the special servicer in January 2010 due to imminent maturity default. The borrower filed for bankruptcy protection in February 2011. The loan is expected to be corrected and transfer back to the trust.

Fitch downgrades the following class:

--$27.6 million class G notes to 'CCCsf' from 'Bsf'; RE 100%.

Fitch affirms the following classes:

--$2.6 million class H notes at 'Dsf'; RE 0%;

--$0 class J notes at 'Dsf'; RE 0%;

--$0 class K notes at 'Dsf'; RE 0%;

--$0 class L notes at 'Dsf'; RE 0%;

--$0 class M notes at 'Dsf'; RE 0%.

The class A-1, A-2, A-3, B, C, D, E, F, and X2 notes have paid in full. Fitch previously withdrew the rating on the interest-only class X1 certificates.

Additional information on Fitch's criteria for analyzing U.S. CMBS transactions is available in the Dec. 21, 2011 report, 'Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions', which is available at 'www.fitchratings.com' under the following headers:

Structured Finance >> CMBS >> Criteria Reports

Additional information is available at 'www.fitchratings.com'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'Global Structured Finance Rating Criteria' (June 6, 2012);

--'U.S. Fixed-Rate Multiborrower CMBS Surveillance and Re-REMIC Criteria' (Dec. 18, 2012).

Applicable Criteria and Related Research:

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=679923

U.S. Fixed-Rate Multiborrower CMBS Surveillance and Re-REMIC Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=696969

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE '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 ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE.

Fitch Ratings
Primary Analyst
Matthew McGowan, +1-212-908-0733
Analyst
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Committee Chairperson
Mary MacNeill, +1-212-908-0785
Managing Director
or
Media Relations
Sandro Scenga, New York, +1 212-908-0278
sandro.scenga@fitchratings.com

 

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