Goldman Sachs is in the market with GS Mortgage Securities Trust, Series 2011-GC3. The more than $1.4 billion deal is backed by 57 fixed-rate loans secured by 111 commercial properties.
The trust assets, which are from two loans that represent 5.8% of the pool, are shadow-rated investment grade by DBRS. When 5.8% of the pool has no proceeds assigned below the rated floor, the resulting pool subordination is reduced to below that rated floor, the rating agency said.
The proceeds for each shadow-rated loan are floored at their respective rating within the pool.
The remaining conduit pool was analyzed to determine the indicative conduit ratings, refl ecting the long-term probability of loan default within the term and its liquidity at maturity.
The sponsors of the deal are Goldman Sachs Mortgage Co. (58.3%), Citigroup Global Markets Realty Corp. (37.8%) and Starwood Property Mortgage Sub-3, L.L.C. (3.9%).
In other deal news, Wyndham Worldwide Corp. has priced its Sierra Timeshare 2011-1 Receivables Funding (Sierra Timeshare 2011-1) transaction, which has been upsized to $400 million. This is clearly evidence that investors are reaching for yield.
Additiionally, more esoteric-type transactions have come to market including those from Container Leasing International,a container lease offering, and Richland Towers, which is a deal backed by multiple assets and ownership interests in 37 multi-use communication tower sites.