DBRS Assigns Provisional Ratings to Florentia Limited

DBRS Ratings Limited (DBRS) has today assigned provisional ratings to the following classes of Commercial Real Estate Loan Backed Floating Rate Notes due 2024 (collectively, the Notes), to be issued by Florentia Limited:

-- Class A at AAA (sf)
-- Class B at AA (sf)
-- Class C at A (low) (sf)
-- Class D at BBB (sf)
-- Class E at BBB (low) (sf)

Florentia Limited is the securitisation of two groups of loans. Each of these groups comprises loans to seven different borrowers, all of which are subsidiaries of the sponsor, Vitus Immobilien S.a.r.l. (Vitus). The purpose of these loans is to refinance loans that were securitised in the Centaurus (Eclipse 2005-3) CMBS transaction and also to refinance a portion of the senior subsidised debt maintained by the various borrower entities.

The collateral real estate portfolio for the transaction consists of 28,859 residential multifamily units, 330 commercial units, 7,124 parking spaces and 421 miscellaneous units comprising a total rentable area of 1,881,891 square metres. All of the properties are located in Germany, primarily in the north and west of the country. Property management services for the portfolio are being provided by Vitus and its dedicated team of real estate professionals.

The final legal maturity of the Notes is in October 2024, seven years beyond the maturity of the loan. This is believed to be sufficient time to enforce and repay bondholders given the unique security structure and the property’s jurisdiction.

Finalisation of the ratings is contingent upon receipt of final documents conforming to information already received by DBRS.

Notes:
The principal methodologies applicable are the European CMBS Methodology, Legal Criteria for European Structured Finance Transactions and Unified Interest Rate Model for European Securitisations, which can be found on www.dbrs.com under Methodologies.

The primary sources of information used for this rating include Deutsche Bank AG, Vitus Immobilien S.a.r.l. and Jones Lang LaSalle. DBRS considers the information available to it for the purposes of providing this rating was of satisfactory quality.

This rating concerns a newly issued financial instrument. This is the first DBRS rating on this financial instrument.

For additional information on this rating, please see Linking Document - European CMBS under Related Research to the right or by contacting us at info@dbrs.com.

Lead Analyst: Scott Goedken
Rating Committee Chair: Kevin Mammoser
Initial Rating Date: 20 September 2012