Westgate Resorts plans to issue a $215 million securitization of mortgage loans used to purchase timeshare Loans, according to a DBRS presale report.
The timeshare loans are fixed-rate, fully amortizing loans that are secured by first mortgage liens on timeshare intervals within the Westgate Resorts, Ltd. system.
Westgate Resorts 2014-1 will offer $127 million of A’ rated class A notes, $53 million of BBB’ rated class B notes and $35 million of BB’ rated class C notes. The notes are due December 2026.
Westgate has issued more than $2.29 billion of structured timeshare mortgage financing. Westgate 2014-1 is the seventh ABS transaction for the issuer since the beginning of 2012. The six previous transactions were completed in 2012 and 2013 and were senior and subordinate structures.
The 2014-1 collateral pool is seasoned approximately 13 months and contains Westgate originations from 2002 through 2014. The weighted average remaining life of the collateral pool is approximately 95 months. The weighted-average FICO score of the pool is 693.
