Price guidance has emerged on a $1.2 billion commercial mortgage backed securities conduit being prepared by Goldman Sachs and Citigroup, according to a regulatory filing.
The transaction, GSMS 2014-GC20, is collateralized by 63 fixed-rate commercial mortgage loans that are secured by 127 properties located in 32 different states.
The trust will issue 19 classes of notes, including seven tranches with preliminary AAA’ ratings from Kroll Bond Rating Agency and credit enhancement of 30%.
Talk on the $62.8 million tranche with a weighted average life (WAL) of 2.67 years is for a price of par and a spread of 48 basis points over swaps; a $41.5 million tranche with a WAL of 4.9 years is being talked at a price of 103 and a spread of swaps plus 56 basis points; and a $176.8 million tranche with a WAL of 6.8 years is being talked at 103 and swaps plus 92 basis points.
Kroll calculates the weighted average in-trust loan-to-value ratio of the collateral at 103.1%, which is above the average of the 17 CMBS conduits that it rated over the last six months.
Five mortgage loan sellers sold the loans to the trust: Goldman Sachs Mortgage Company, Citigroup Global Markets Realty Corp., MC-Five Mile Commercial Mortgage Finance LLC, Starwood Mortgage Funding and Redwood Commercial Mortgage Corporation.