S&P: Morgan Stanley Capital I Trust 2006-IQ11 Class D Rating Lowered To 'D (sf)' Due To Principal Losses
The downgrade reflects principal losses as detailed in the September 2016 trustee remittance report.
The Sept. 15, 2016, trustee remittance report reported $14.9 million in principal losses, which resulted primarily from the liquidations of two specially serviced assets: Merritt Square Mall and Pines of Wilmington. According to the trustee remittance report, Merritt Square Mall liquidated at a loss severity of 27.0% of its original balance, and Pines of Wilmington liquidated at a loss of 0.9% of its original balance. Offsetting the losses are recoveries of $0.6 million from the Capital Plaza loan, which was liquidated in June 2016. Consequently, class D experienced a 8.5% loss of its $22.2 million original principal balance, and the remaining losses were allocated to class E (not rated by S&P Global Ratings).