DBRS Confirms Class A-1 of BCAT, Series 2007 CAD1

DBRS has today confirmed Class A-1 of Bayview Commercial Asset Trust, Series 2007-CAD1 at AAA. Classes M1 through B3 are not rated by DBRS.

The transaction consists of 354 small balance commercial mortgage loans. The average loan size is $322,435. The pool is well diversified with properties located in nine provinces.

DBRS was able to confirm Class A-1 because of the increased credit enhancement created by the over collateralization, Class OC. Current credit enhancement to Class A-1 is 55.3%. The transaction has a high amount of delinquent loans (49 loans, 16.7% of the current pool balance). However, given the increased credit enhancement to Class A-1, each of the delinquent loans would have to experience a loss in excess of 100% to even deplete the current OC class. In addition to the OC Class, there is $43.5 million in subordinate bonds to further enhance Class A-1.

Notes:
All figures are in Canadian dollars unless otherwise noted.

This rating is based on public information.
The applicable methodologies are CMBS Rating Methodology and CMBS Surveillance, which can be found on our website under Methodologies.