Rating Action: Moody’s upgrades 170 and confirms 42 classes of bonds issued by 45 US LLSASB commercial mortgage backed securities and upgrades two non-pooled rake classes issued by two US CMBS transactionsGlobal Credit Research – 09 Feb 2022Approximately $11.3 billion of structured securities affectedNew York, February 09, 2022 — Moody’s Investors Service (“Moody’s”) has upgraded 170 and confirmed 42 classes of bonds issued by 45 US Large Loan and Single Asset Single Borrower (LL/SASB) commercial mortgage backed securities (CMBS) and upgraded two non-pooled rake classes issued by two US CMBS transactions.Please click on this link https://www.moodys.com/viewresearchdoc.aspx?docid=PBS_ARFTL462491 for the List of Affected Credit Ratings. This list is an integral part of this Press Release and identifies each affected issuer.Today’s actions conclude the review for upgrade on the Affected Credit Ratings initiated on November 22, 2021 as a result of the update of the “Large Loan and Single Asset/Single Borrower Commercial Mortgage-Backed Securitizations Methodology.” RATINGS RATIONALE Please click on this link https://www.moodys.com/viewresearchdoc.aspx?docid=PBS_ARFTL462491 for the List of Affected Credit Ratings. This list is an integral part of this Press Release and provides, for each of the credit ratings covered, Moody’s disclosures on the following items:** Principal MethodologiesThe rating actions result primarily from the methodology update for rating LL/SASB CMBS that included an addition of a capitalization rate adjustment to account for the interest rate environment and updates to our loan-level legal analysis framework. The rating actions also incorporate loan and property performance information as of the January 2022 remittance date.The rating action included the upgrades of 153 principal and interest (P&I) tranches and the confirmation of 34 P&I Classes from 47 CMBS LL/SASB securities and non-pooled rake classes.For seven of the forty-seven transactions all the Affected Credit Ratings were confirmed due to the determination that Moody’s adjusted LTV is consistent with their current rating. For these transactions our analysis took into account the recent declines in performance of the property or portfolio securing the related transaction. Despite the recent declines in cash flow for these assets, the respective loans remain current on their debt service payment and continue to perform. Furthermore, the collateral for these LL/SASB loans typically consists of trophy assets located in major metropolitan areas and/or irreplaceable locations with significant barriers to entry. These assets are often owned by well-capitalized sponsors and are recognized as flagship assets.The rating action includes the upgrade of 17 interest-only (IO) classes and two exchangeable due to the credit quality of their referenced P&I classes. Additionally, eight interest-only classes were confirmed due to the credit quality of their referenced P&I classes.For each CMBS transaction with tranches impacted by today’s actions, the List of Affected Credit Ratings also identifies the (1) Moody’s loan-to-value (LTV) ratio and (2) Moody’s adjusted LTV based on the trust loan balance and any related pari passu portions.FACTORS THAT WOULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS:The performance expectations for a given variable indicate Moody’s forward-looking view of the likely range of performance over the medium term. Performance that falls outside the given range can indicate that the collateral’s credit quality is stronger or weaker than Moody’s had previously expected. Additionally, significant changes in the 5-year rolling average of 10-year US Treasury rates will impact the magnitude of the interest rate adjustment and may lead to future rating actions.Factors that could lead to an upgrade of the ratings include a significant amount of loan paydowns or amortization, an increase in defeasance or an improvement in loan performance.Factors that could lead to a downgrade of the ratings include a decline in the performance of the loan or increase in interest shortfalls.REGULATORY DISCLOSURESThe List of Affected Credit Ratings announced here are all solicited credit ratings. For additional information, please refer to Moody’s Policy for Designating and Assigning Unsolicited Credit Ratings available on its website www.moodys.com. Additionally, the List of Affected Credit Ratings includes additional disclosures that vary with regard to some of the ratings. Please click on this link https://www.moodys.com/viewresearchdoc.aspx?docid=PBS_ARFTL462491 for the List of Affected Credit Ratings. This list is an integral part of this Press Release and provides, for each of the credit ratings covered, Moody’s disclosures on the following items:** Rating Solicitation** Issuer Participation** Participation: Access to Management** Participation: Access to Internal Documents ** Endorsement ** Lead Analyst ** Releasing Office For further specification of Moody’s key rating assumptions and sensitivity analysis, see the sections Methodology Assumptions and Sensitivity to Assumptions in the disclosure form. Moody’s Rating Symbols and Definitions can be found at: https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_79004.The analysis includes an assessment of collateral characteristics and performance to determine the expected collateral loss or a range of expected collateral losses or cash flows to the rated instruments. As a second step, Moody’s estimates expected collateral losses or cash flows using a quantitative tool that takes into account credit enhancement, loss allocation and other structural features, to derive the expected loss for each rated instrument.Moody’s did not use any stress scenario simulations in its analysis.For ratings issued on a program, series, category/class of debt or security this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series, category/class of debt, security or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody’s rating practices. For ratings issued on a support provider, this announcement provides certain regulatory disclosures in relation to the credit rating action on the support provider and in relation to each particular credit rating action for securities that derive their credit ratings from the support provider’s credit rating. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. For further information please see the ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.For any affected securities or rated entities receiving direct credit support from the primary entity(ies) of this credit rating action, and whose ratings may change as a result of this credit rating action, the associated regulatory disclosures will be those of the guarantor entity. Exceptions to this approach exist for the following disclosures, if applicable to jurisdiction: Ancillary Services, Disclosure to rated entity, Disclosure from rated entity.The ratings have been disclosed to the rated entity or its designated agent(s) and issued with no amendment resulting from that disclosure.Regulatory disclosures contained in this press release apply to the credit rating and, if applicable, the related rating outlook or rating review.Moody’s general principles for assessing environmental, social and governance (ESG) risks in our credit analysis can be found at http://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_1288235.The below contact information is provided for information purposes only. Please see the ratings tab of the issuer page at www.moodys.com, for each of the ratings covered, Moody’s disclosures on the lead rating analyst and the Moody’s legal entity that has issued the ratings.Please see www.moodys.com for any updates on changes to the lead rating analyst and to the Moody’s legal entity that has issued the rating.Please see the ratings tab on the issuer/entity page on www.moodys.com for additional regulatory disclosures for each credit rating. EunJee EJ Park VP – Senior Credit Officer Structured Finance Group Moody’s Investors Service, Inc. 250 Greenwich Street New York, NY 10007 U.S.A. JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 Matthew Halpern VP – Senior Credit Officer Structured Finance Group JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 Releasing Office: Moody’s Investors Service, Inc. 250 Greenwich Street New York, NY 10007 U.S.A. JOURNALISTS: 1 212 553 0376 Client Service: 1 212 553 1653 © 2022 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). All rights reserved.CREDIT RATINGS ISSUED BY MOODY’S CREDIT RATINGS AFFILIATES ARE THEIR CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MATERIALS, PRODUCTS, SERVICES AND INFORMATION PUBLISHED BY MOODY’S (COLLECTIVELY, “PUBLICATIONS”) MAY INCLUDE SUCH CURRENT OPINIONS. MOODY’S DEFINES CREDIT RISK AS THE RISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT OR IMPAIRMENT. SEE APPLICABLE MOODY’S RATING SYMBOLS AND DEFINITIONS PUBLICATION FOR INFORMATION ON THE TYPES OF CONTRACTUAL FINANCIAL OBLIGATIONS ADDRESSED BY MOODY’S CREDIT RATINGS. 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BAMLL Commercial Mortgage Securities Trust 2014-520M — Moody’s upgrades 170 and confirms 42 classes of bonds issued by 45 US LLSASB commercial mortgage backed securities and upgrades two non-pooled rake classes issued by two US CMBS transactions
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