DBRS Upgrades Two Classes of RB Commercial Trust 2012-RS1

DBRS Limited (DBRS) has today upgraded two classes of RB Commercial Trust 2012-RS1 Asset-Backed Notes, Series 2012-RS1 issued by RB Commercial Trust 2012-RS1:

-- Class A to A (low) (sf) from BBB (high) (sf)
-- Class B to BBB (sf) from BBB (low) (sf)

All trends are Stable.

The transaction is a resecuritization, collateralized by the beneficial interests in seven commercial mortgage-backed pass-through certificates from three underlying transactions, FREMF 2011-K13 Mortgage Trust, Multifamily Mortgage Pass-Through Certificates Series 2011-K13; FREMF 2011-K15 Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2011-K15; and FREMF 2012-K18 Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2012-K18.

The ratings are dependent on the performance of the underlying transactions. The Principal-only (PO) Class C and the interest-only (IO) Class X-2 were contributed from each respective transaction. Although DBRS does not publicly rate the FREMF 2011-K13 Mortgage Trust, Multifamily Mortgage Pass-Through Certificates, Series 2011-K13 transaction, a detailed level of analysis was performed, using the CRE Finance Council Investor Reporting Package files from the latest remittance period.

The rating upgrades reflect the increased credit support to the underlying transactions. As of the February 2017 remittance for the FREMF 2011-K13 transaction, the pool has experienced a collateral reduction of 14.6% since issuance and benefits from defeasance collateral totaling 19.3% of the current pool balance. Please refer to the February 27, 2017, and March 20, 2017, press releases, respectively, for more information on the FREMF 2012-K18 and FREMF 2011-K15 transactions, respectively. Both of these transactions are publicly rated by DBRS.

DBRS analyzed the underlying certificates based on the performance of the underlying loans and the transaction structure. DBRS ratings recognize the likelihood that available funds may be less than the accrued interest on the Class A Notes over Multiple Periods. The resulting interest shortfall(s) will be added to the note balance of the Class A Notes.

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

The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link to the right under Related Research or by contacting us at info@dbrs.com.

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

The principal methodologies are North American CMBS Rating Methodology (January 2017) and CMBS North American Surveillance (December 2016), which can be found on www.dbrs.com under Methodologies.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.