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Article: Fitch: More Rated CMBS Classes May Be Lowered Due To Interest Shortfalls.
- Article from:
- Business Wire
- Article date:
- July 15, 2002
CopyrightCOPYRIGHT 2002 Business Wire. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Business Editors
Commercial mortgage-backed securities (CMBS) may be downgraded or placed on Rating Watch Negative at an accelerated rate due to interest shortfalls, according to an article appearing in the latest edition of the Fitch Ratings 'CMBS Real Estate Update' newsletter. While the majority of certificate classes experiencing interest shortfalls to date in Fitch-rated CMBS are unrated, more rated classes are now experiencing interest shortfalls, which has necessitated more tranches being placed on Rating Watch Negative or lowered.
'The shortfalls will most likely be caused by special servicer fees associated with the resolution of assets ...