Fitch Ratings has issued a presale report on J.P. Morgan Chase Commercial Mortgage Securities Trust commercial mortgage pass-through certificates, series 2010-C1.
Fitch expects to rate the transaction and assign Loss Severity ratings as follows:
--$416,124,000 class A-1 'AAA/LS1';
--$131,283,000 class A-2
'AAALS1';
--$61,488,000 class A-3 'AAA/LS1';
--$608,895,000*
class X-A 'AAA';
--$107,452,454* class X-B 'NR';
--$16,118,000
class B 'AA/LS3';
--$26,863,000 class C 'A-/LS3';
--$14,327,000
class D 'BBB/LS3';
--$16,117,000 class E 'BBB-/LS4';
--$8,955,000
class F 'BB/LS4';
--$7,163,000 class G 'B+/LS4';
--$6,268,000
class H 'B-/LS4';
--$11,641,454 class NR 'NR'.
*Notional amount and interest only.
The expected ratings are based on information provided by the issuer as of June 3, 2010.
The certificates represent the beneficial ownership in the trust, primary assets of which are 36 loans secured by 96 commercial properties having an aggregate principal balance of approximately $716.3 million as of the cutoff date. The loans were originated by JP Morgan Chase Bank National Association and Ladder Capital Finance LLC.
Fitch reviewed a comprehensive sample of the transaction's collateral, including site inspections on 65.8% of the properties by balance, cash flow analysis of 88.3% of the pool and asset summary reviews on 100% of the pool.
The transaction has a Fitch stressed debt service coverage ratio (DSCR) of 1.37 times (x) and a Fitch stressed loan-to-value (LTV) of 62.4%. This compares favorably to Fitch rated conduit transactions of 2007 which had average Fitch DSCR and LTV of 1.05x and 110.7%, respectively. Fitch's aggregate net cash flow represents a variance of 4.3% to issuer cash flows and 15.9% below full-year 2009 net operating income.
The transaction is concentrated by loan and sponsor. The largest 10 loans account for 55.1% of the pool and the largest 15 account for 68.5%. Additionally, 13 loans to Inland Realty Trust and affiliates account for 37% of the pool.
The Master Servicer and Special Servicer will be Midland Loan Services, Inc. (rated 'CMS1/CSS1' by Fitch).
The presale report is available to all investors at 'www.fitchratings.com.'
Applicable criteria available at 'www.fitchratings.com':
--'Global Structured Finance Rating Criteria' (Sept. 30, 2009);
--'Rating
Criteria for Fitch's U.S. CMBS Multiborrower Rating Model' (May 7, 2008);
--'U.S.
CMBS Surveillance Criteria' (Oct. 7, 2008);
--'U.S. Commercial
Mortgage Servicer Rating Criteria' (June 19, 2009);
--'Special
Purpose Vehicles in Structured Finance Transactions' (Sept. 17, 2009).
Additional information is available at 'www.fitchratings.com'
Related Research: J.P. Morgan Chase Commercial Mortgage Securities Trust
2010-C1 (US CMBS)
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=531414
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.
Contacts:
Fitch Ratings, New York
Media Relations:
Sandro Scenga,
+1-212-908-0278
sandro.scenga@fitchratings.com
or
Jonathan
Teichmann, +1-212-908-0862
Eric Rothfeld, +1-212-908-0761
Salvatore
Fuschetto, +1-212-908-0166