2008-11-03 14:42:06 -

- Fitch Ratings affirms KeyBank Real Estate Capital's (KBREC) commercial mortgage-backed securities (CMBS) primary servicer rating at 'CPS1', its master servicer rating at 'CMS1', and its special servicer rating of 'CSS2+'.

The servicer rating affirmations reflect KBREC's strong, experienced management team, the financial strength of KBREC's parent KeyCorp, and its commitment to commercial mortgage servicing, including its strong employee

training program, and its continued commitment to technology. The primary and master servicer ratings consider KBREC's ability to effectively manage substantial portfolio growth. The master servicer rating also reflects KBREC's favorable interaction with Fitch's CMBS performance analytics team and the ability to oversee primary servicers. The special servicer rating reflects KBREC's continued ability to workout, manage and liquidate nonperforming loans and real estate owned (REO) properties in CMBS transactions.

As of Sept 30, 2008, KBREC's total commercial mortgage servicing portfolio consisted of 12,174 loans with a principal balance of $133.9 billion of which $90.8 billion, comprising 8,070 loans, were CMBS. As of the same date, KBREC was named master servicer on 80 CMBS transactions, overseeing 28 primary servicers who serviced 1,502 loans totaling $13 billion. Also as of the same date, KBREC was named special servicer on 16 CMBS transactions totaling $13.6 billion and was actively special servicing seven CMBS loans totaling $56.6 million.

Fitch rates commercial mortgage primary, master, and special servicers on a scale of 1 to 5, with 1 being the highest rating. Within each of these rating levels, Fitch further differentiates ratings by plus (+) and minus (-) as well as the flat rating. For more information about Fitch commercial mortgage servicer ratings or rating criteria, refer to the report titled 'U.S. Commercial Mortgage Servicers Rating Criteria', dated Sept. 14, 2007, available on Fitch's web site, www.fitchratings.com.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, 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.

Fitch Ratings
Jeff Wagner, +1-646-478-6592, Kansas City
Richard Carlson, +1-312-606-2373, Chicago
Media Relations:
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