Securitization

Amortization will start after the deal's two-year revolving period, when the trust will deposit revenue including collections and upgrades into the acquisition account.

Affirm grade A loans account for 34.8% of the pool and have historically produced the lowest defaults in the sponsor's managed portfolios.

Tricon's pool had 49 vacant properties, which translated to a 3.4% vacancy rate in the pool, lower than the average 6.0% in KBRA's comparison set of 24 deals.

Small-balance commercial mortgages, SBA 504 and investor loans, all first-lien, make up the collateral pool.

The current pool has smaller exposures to the construction and turf sectors compared to the 2024-2 series, which have seen higher loss rates than the agriculture sector.

Lenders and developers are now working their contacts in Washington to try to protect Ginnie Mae.

Loan modifications and expenses have reduced available interest and net weighted average coupon (WAC) rates in the deal.

Unlike most aircraft securitizations, Gilead 2025-1 uses a mortgage amortization style, de-levering at a lower rate compared to a more typical straight-line payment style.

Bessent had repeatedly criticized then-Treasury Secretary Janet Yellen for boosting the share of bills in US debt.

Any loan that is more than 120 days delinquent becomes a stop-advance loan, a designation that prevents interest leakage to bondholders.