Resource Capital Corp. priced a $260.8 million CMBS that is collateralized by a pool of 26 floating rate mortgage loans with $300.6 million current balance that are backed by 44 transitional commerical and multifamily properties.
Three loans- Forest Apartments, Mountain View Apartments and West Sunset Square have not closed. DBRS assigned ratings to the deal called Resource Capital Corp CRE Notes 2013.
The ratings agency noted that nine of the loans collateralizing the securitization pool have a future funding component totaling $7.2 million. All proceeds needed to purchase the three unclosed loan from the seller have been reserved in the unused proceed account structured in the deal.
If the loans are not purchased within 45 days of the securitization close, scheduled for Dec. 23, the unused proceed will pay down the securitization notes in sequential order.
The class A notes are rated AAA’ and priced with a weighted average coupon of 1.86%, according to a company press release.
The deal was also structured with AA’-rated class B notes , A’-rated class C notes; BBB’-rated class D notes; BB’-rated the class E notes; and B’-rated class F notes. Resource Capital will retain the subordinated notes and the preferred shares in the transaction equal to approximately $47 million. Wells Fargo, together with Resource Capital, are lead managers on the deal.
Resource Capital is a real estate investment trust that is primarily focused on originating, holding and managing commercial mortgage loans and other commercial real estate-related debt and equity investments.