Kroll Bond Rating Agency Assigns Final Ratings to LMRK Issuer Co. LLC, Series 2016-1
Kroll Bond Rating Agency (KBRA) assigns final ratings to two classes of secured tenant site contract revenue notes, series 2016-1 (the "Notes") issued by LMRK Issuer Co. LLC.
Proceeds from the sale of the Notes are used to purchase 491 sites leased to 31 primary tenants through 629 tenant leases. The sites consist of real property interests in the form of fee estates, easements, and assignments. The portfolio has an aggregate annualized revenue of approximately $13.389 million calculated for the month of May 2016.
This transaction represents the inaugural securitization for Landmark Infrastructure Partners GP LLC ("Landmark", the "Manager" or the "Company"). Landmark is a growth-oriented master limited partnership formed by Landmark Dividend LLC to acquire, own and manage a portfolio of real property interests that it leases to companies in the wireless communication, outdoor advertising and renewable power generation industries.
The transaction will benefit from sufficient credit support, along with a dynamic transaction structure that accelerates principal payments to the noteholders upon the weakening of collateral performance. Such structural features include cash trap conditions, servicer termination events and reserve accounts as further described in the LMRK Issuer Co. LLC, Series 2016-1 New Issue Report.
KBRA analyzed the transaction using KBRA's General Rating Methodology for Asset-Backed Securities published on July 30, 2012.
|Series and Class||Rating||Principal Balance (USD)|
|Series 2016-1, Class A||A(sf)||$91,500,000|
|Series 2016-1, Class B||BB(sf)||$25,100,000|
Representations & Warranties Disclosure
All Nationally Recognized Statistical Rating Organizations are required, pursuant to SEC Rule 17g-7, to provide a description of a transaction's representations, warranties and enforcement mechanisms that are available to investors when issuing credit ratings. KBRA's disclosure for this transaction can be found in the report entitled Disclosure is available at the following link: ABS: LMRK Issuer Co. LLC Representations and Warranties Disclosure.
Related Publications: (available at www.kbra.com)
- General Rating Methodology for Asset-Backed Securities
- LMRK Issuer Co. LLC, Series 2016-1 New Issue Report
KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).