2008-04-15 23:49:34 -
- Fitch Ratings has upgraded Bear Stearns Commercial Mortgage Securities Inc., series 2003-TOP12, as follows:
--$31.9 million class C to 'AA+' from 'AA';
--$13.1 million class D to 'AA' from 'AA-';
--$14.5 million class E to 'A' from 'A-';
--$7.3 million class F to 'A-' from 'BBB+';
--$7.3 million class G to 'BBB+' from 'BBB';
--$5.8 million class H to 'BBB' from 'BBB-'.
In addition, Fitch has affirmed the following classes:
--$59.3 million class A-2 at 'AAA';
--$185.9 million class A-3 at 'AAA';
--$487.3 million class A-4 at 'AAA';
--Interest only class X-1 at 'AAA';
--Interest only class X-2 at 'AAA';
--$30.5 million class B at 'AAA';
--$5.8 million class J at 'BB+';
--$2.9 million class K at 'BB';
--$2.9 million class L at 'BB-';
--$2.9 million class M at 'B';
--$2.9 million class N at 'B-'.
Fitch does not rate the $11.6 million class O. Class A-1 has been paid in full.
The rating upgrades reflect additional pay down and defeasance since Fitch's last rating action. As of the March 2007 distribution date, the pool has paid down 24.9% to $871.8 million from $1.16 billion at issuance. Of the original 152 loans, 133 remain in the transaction and twelve (7.5%) have been defeased. There are no delinquent or specially serviced loans.
Fitch reviewed the most recent servicer provided operating statement analysis reports for the nine remaining non-defeased shadow rated loans (25.3%): West Shore Plaza (7.1%), West Valley Mall (6.7%), Sun Valley Apartments (2.5%), Cedar Knolls Shopping Center (2.1%), 284 Mott Street (2.1%), Eagle Plaza (1.8%), Carriage Way (1.1%), Deerfield Estates (1.1%), and Wayne Towne Center (0.8%). Based on their stable performance since issuance the loans maintain their investment grade shadow ratings.
West Valley Mall (6.7%) is collateralized by 621,697 square feet (sf) of a 717,573 sf regional mall in Tracy, CA. Anchor tenants include Gottschalks, Target, Sears and JC Penney. Major tenants include a 14 screen Cinemark, Ross Dress 4 Less, Barnes & Noble and Old Navy. In-line tenants include Pier 1, Lemer New York and Big 5 Sporting Goods. The property benefits from the experienced sponsorship of General Growth Properties (GGP), a real estate investment trust (REIT) and the second largest owner and operator of malls in the U.S. In-line sales for the twelve months ending December 2007 were $303 per square foot (psf) compared to $294 psf at issuance. Occupancy as of March 18, 2008 has increased to 98.4% from 95.9% at issuance.
West Shore Plaza (7.1%) is collateralized by 831,439 sf of a 1.1 million sf regional mall located in Tampa, FL. Anchor tenants include Burdines, JC Penney, Sears and Saks Fifth Avenue. The major tenant is a 14 screen American Multi-Cinemas. In-line tenants include Banana Republic, Express, Limited, Victoria's Secret, Ann Taylor and Foot Locker. The property benefits from the experienced sponsorship of Glimcher Realty Trust, a REIT which specializes in regional and super-regional malls. In-line sales for the twelve months ending January 2008 were $463 psf compared to $369 psf at issuance. As of Aug. 9, 2007 occupancy has remained stable at 96% compared to 95.9% at issuance.
Sun Valley Apartments is a 306-unit multifamily property located in Florham Park, NJ. Occupancy as of Dec. 31, 2007 is 95.1%, unchanged since issuance.
Fitch will continue to monitor the performance of the shadow rated loans as year end 2007 financial statements become available.
Three loans (3.3%) mature in 2008 and one loan (3.9%) matures in 2009 with a weighted average coupon of 4.56% and a servicer reported weighted average debt service coverage ratio of 1.95x. The pool's weighted average coupon for the remaining loans is 5.21%.
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
Shari Linnick, +1-212-908-0765
Adam Fox, +1-212-908-0869
Sandro Scenga, +1-212-908-0278 (Media Relations)
