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Fitch Downgrades Two Classes Of Banc of America Commercial Mortgage Inc., Series 2001-1

Fitch Ratings downgrades two distressed classes of Banc of America Commercial Mortgage Inc. series 2001-1 commercial mortgage pass-through certificates. A detailed list of rating actions follows the end of this press release.

The downgrades of classes K and L are the result of realized losses incurred. Fitch expected losses of the original pool are at 6.6%, which includes 4.8% in realized losses to date.

As of the May 2012 distribution date, the pool's certificate balance has paid down 91.4% to $35.8 million from $948.1 million at issuance. Six loans are remaining in the pool. There are five (96.7%) specially serviced loans, of which four (58%) are in foreclosure and one (38.7%) property is real estate owned (REO).

The largest contributor to Fitch expected losses is secured by a 673,400 square foot (SF) industrial warehouse located in Grand Blanc, MI. The property transferred to special servicing in May 2009 and became REO in May 2011.The special servicer reports that the former borrower retained ownership of land parcels within the warehouse complex that were not part of the collateral for the mortgage. The retained parcels have caused a dispute between the special servicer and borrower, but do not encumber the operation of the property. The special servicer states that the property will be listed for sale once a resolution has been reached.

The second largest contributor to Fitch expected losses is a loan (34%) collateralized by a 159,000 SF office property located in Irving, TX. The loan transferred to special servicing in September 2011 for imminent default. As per the special servicer, occupancy at the property was 50% as of February 2012.

The third largest contributor to expected losses is a loan (13.5%) secured by two mobile home properties comprising 326 pads, located in Lockport, NY. The loan transferred to the special servicing in April 2010 for imminent default.

Fitch downgrades the following classes and assigns Recovery Estimates (REs) as indicated:

--$22 million class K to 'Dsf' from 'Csf'; RE 20%;

-- Class L to 'Dsf' from 'Csf' to 'Dsf'; RE 0%.

Fitch affirms the following classes and revises Outlook as indicated:

--$0.5 million class H at 'BBsf'; Outlook to Stable from Negative;

--$13.2 million class J at 'CCCsf'; RE 100%.

Fitch does not rate class P.

Classes A-1, A-2, A-2F, B, C, D, E, F, and G have paid in full. Due to realized losses classes M, N, and O have been reduced to zero and remain at 'Dsf/ RE 0%'.

Fitch has previously withdrawn the rating on the interest-only class X.

Additional information on Fitch's criteria is available in the Dec. 21, 2011 report, 'Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions', which is available at 'www.fitchratings.com' under the following headers:

Structured Finance then CMBS then Criteria Reports

Additional information is available at 'www.fitchratings.com'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions' (Dec. 21, 2011);

--'Global Structured Finance Rating Criteria' (Aug. 4, 2011).

Applicable Criteria and Related Research:

Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=662869

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=679923

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE '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.

Contacts:

Fitch Ratings
Primary Analyst
Sean Gibbs, +1-212-908-0311
Associate Director
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Committee Chairperson
Mary MacNeill, +1-212-908-0785
Managing Director
or
Media Relations:
Sandro Scenga, +1-212-908-0278
Email: sandro.scenga@fitchratings.com
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