Wells Fargo Securities and RBS are marketing $1.1 billion of commercial mortgage bonds, according to a Kroll Bond Ratings Agency.
WFRBS Commercial Mortgage Trust 2014-C24 is backed 86 loans that are secured by 109 properties. The five largest loans in the pool make up 34.1% of the pool balance.
The transaction has exposure to all major property types but retail properties account for 40.7% of the pool. The largest loan, which accounts for 9.5% of the pool, is backed by St. John’s Town Center, a 1.4 million sf outdoor regional mall located in Jacksonville, Florida.
The five largest loans also include Two Westlake Park (8.4%), Gateway Center Phase II (6.9%), Crossings at Corona (6.4%), and Hilton Biltmore Park (2.9%).
Seventy-six loans representing 86.4% of the pool balance have ten-year terms and 76.8% of the pool is comprised of loans that pay only only interest for some portion of the loan’s life.
Leverage in the pool is lower than the last 17 CMBS conduit transactions rated by KBRA over the past six months. However, the pool’s exposure to high leverage loans with LTVs in excess of 100% is 63.1%, above the average of 60.8% of the last 17 CMBS conduit transactions.
The chart below shows how KBRS plans to rate the tranches.