KBRA Europe (KBRA) assigns preliminary ratings to six classes of notes to be issued by Clavel Residential 4 DAC (Clavel 4), a static RMBS securitisation collateralised by mortgage participations and mortgage transfer certificates (together, Mortgage Certificates). These Mortgage Certificates represent the economic rights to receive principal and revenue payments from corresponding Spanish residential mortgage loans. Clavel 4 will be a refinancing of the issuance under Clavel Residential 3 DAC (92.6%), supplemented by 7.4% of additional mortgage loans.
As of 30 June 2025, the underlying collateral is a €606.2 million portfolio consisting of seasoned predominantly first lien mortgages that are secured by owner occupied (92.6%) and second homes (2.7%) properties located in Spain. The lenders of record to the loans are Banco Santander S.A. (Santander, 69.1%), Banco Bilbao Vizcaya Argentaria, S.A. (BBVA, 27.7%) and CaixaBank S.A. (Caixa, 3.2%).
The notes' payment priority is sequential under a combined collections waterfall and interest payments on Class A notes are supported by a liquidity reserve fund which will be funded at closing.
To access ratings and relevant documents, click here.
Click here to view the report.
Methodologies
- RMBS: European RMBS Rating Methodology
- RMBS: European RMBS Rating Methodology Country Addendum: Spain
- Structured Finance: Global Structured Finance Counterparty Methodology
- ESG Global Rating Methodology
Disclosures
Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.
A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.
Information on the meaning of each rating category can be located here.
This credit rating is endorsed by Kroll Bond Rating Agency UK Limited for use in the UK. Information on a credit rating's endorsement status is available on its rating page at KBRA.com.
Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.
There are certain issuers, entities or transactions rated by KBRA Europe or KBRA UK that may be or have relationships with Shareholders and/or Shareholder-Related Companies, as that term is defined in KBRA's Shareholder and Shareholder Related Companies for KBRA Europe and KBRA UK Policy and Procedure. Relevant disclosure information may be found here.
About KBRA Europe
Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan's Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S. Kroll Bond Rating Agency Europe Limited is located at 2nd Floor, One George's Quay Plaza, George's Quay, Dublin 2, D02 E440, Ireland.
Doc ID: 1011691
View source version on businesswire.com: https://www.businesswire.com/news/home/20251008438764/en/
Contacts:
Analytical Contacts
Karl Cummins, Senior Director (Lead Analyst)
+353 1 588 1240
karl.cummins@kbra.com
Utkarsh Mehta, Senior Analyst
+353 1 5881224
utkarsh.mehta@kbra.com
Kali Sirugudi, Managing Director
+44 20 8148 1050
kali.sirugudi@kbra.com
Jack Kahan, Senior Managing Director, Global Head of ABS RMBS (Rating Committee Chair)
+1 646-731-2486
jack.kahan@kbra.com
Business Development Contacts
Miten Amin, Managing Director
+44 20 8148 1002
miten.amin@kbra.com
Mauricio Noé, Co-Head of Europe
+44 20 8148 1010
mauricio.noe@kbra.com
