DBRS Downgrades One Class of COMM 2004-LNB2

DBRS has today downgraded one class of COMM 2004-LNB2, as follows:

-- Class L to D (sf) from C (sf)

This rating action reflects the most recent losses to the Trust, resulting from the liquidation of one loan in January 2013. As of the January 2013 remittance report, realized losses for this loan total $3.28 million; to date, eight loans have liquidated from the pool, to a cumulative loss of $24.04 million. Additionally, with this liquidation, prior interest shortfalls that had affected Class K through Class M were recouped.

The Woodway Pines Apartments loan (Prospectus ID#42), which had been secured by a 281-unit multifamily property in Huntsville, Alabama, transferred to the special servicer in October 2010, due to imminent payment default. At issuance, the property was valued at $6.80 million and the most recent appraisal, from November 2011, valued the property at $2.05 million. According to the January 2013 remittance report, the property was sold for approximately $2.26 million, resulting in a realized loss to the trust of $3.28 million and a loss severity of 73.34%.

For additional detail on the DBRS viewpoint for this transaction, and for details on the largest loans in the pool, the loans in special servicing and the loans on the servicer’s watchlist, please see the January 2013 Monthly CMBS Surveillance Report for this transaction, which will be published shortly.

Notes:
All figures are in U.S. dollars unless otherwise noted.

This rating is endorsed by DBRS Ratings Limited for use in the European Union.

The applicable methodologies are CMBS Rating Methodology and CMBS North American Surveillance Methodology, which can be found on our website under Methodologies.