Home

Trez Capital Mortgage Investment Corporation files preliminary prospectus

18.05.12

The objectives of the Company are to acquire and maintain a diversified portfolio of mortgages on real property in Canada that preserves capital and generates attractive returns in order to permit the Company to pay monthly distributions to its shareholders. The initial amount of the monthly distributions will be approximately $0.0583 per Share ($0.70 per annum) representing an annual cash distribution of 7.0% based on the $10.00 per Share issue price. Trez Capital Limited Partnership is the manager of and portfolio advisor to the Company.

The syndicate of agents for the offering is being co-led by RBC Dominion Securities Inc., Canaccord Genuity Corp. and CIBC World Markets Inc. and also includes BMO Nesbitt Burns Inc., Scotia Capital Inc., TD Securities Inc., GMP Securities L.P., Raymond James Ltd., Macquarie Private Wealth Inc., Desjardins Securities Inc., Mackie Research Capital Corporation and Manulife Securities Incorporated (the "Agents").

Source: Sacramento Bee

TEXT-S&P cuts 8 Morgan Stanley Capital 2005-RR6 ratings

18.05.12

OVERVIEW -- We lowered our ratings on eight classes from Morgan Stanley Capital I Inc.'s series 2005-RR6, a U.S. CMBS re-REMIC transaction, and removed them from CreditWatch with negative implications. -- We affirmed our ratings on classes A-2FX and A-2FL and removed them from CreditWatch with negative implications, and subsequently withdrew them following full repayment of the principal balance. -- The downgrades reflect our analysis of the transaction's liability structure and the underlying credit characteristics of the collateral using our criteria for rating global CDOs of pooled structured finance assets. -- The downgrades also reflect interest shortfalls affecting the transaction according to the April 24, 2012, trustee report. -- We lowered our ratings on classes E and F to 'D (sf)' due to interest shortfalls that we expect will continue for the foreseeable future. NEW YORK (Standard & Poor's) April 30, 2012--Standard & Poor's Ratings Services today lowered its ratings on eight classes of commercial mortgage-backed securities (CMBS) pass-through certificates from Morgan Stanley Capital I Inc.'s series 2005-RR6 (MSC 2005-RR6), a U.S. CMBS resecuritized real estate mortgage investment conduit (re-REMIC) transaction, and removed them from CreditWatch with negative implications. At the same time, we affirmed our ratings on classes A-2FX and A-2FL and removed them from CreditWatch with negative implications. Subsequently, we withdrew our ratings on classes A-2FX and A-2FL after the transaction paid the principal balance in full (see list). The downgrades reflect our analysis of the transaction's liability structure and the credit characteristics of the underlying collateral using our global collateralized debt obligations (CDOs) of pooled structured finance assets criteria. We also considered the transaction's exposure to underlying CMBS collateral that we have downgraded. The downgraded collateral securities are from eight transactions and total $67.1 million (24.6% of the total asset balance). The global CDOs of pooled structured finance assets criteria include revisions to our assumptions on correlations, recovery rates, and the collateral's default patterns and timings. The criteria also include supplemental stress tests (largest obligor default test and largest industry default test) in our analysis (for more information, see "Global CDOs Of Pooled Structured Finance Assets: Methodology And Assumptions," published Feb. 21, 2012). The downgrades also reflect our analysis following interest shortfalls to the transaction. We also considered the potential for additional classes to experience interest shortfalls in the future. According to the April 24, 2012, trustee report, cumulative interest shortfalls to the transaction totaled $3.6 million affecting class B and the classes subordinate to it. The interest shortfalls were the result of interest shortfalls on 12 of the underlying CMBS transactions primarily due to the master servicer's recovery of prior advances, appraisal subordinate entitlement reductions (ASERs), servicers' nonrecoverability determinations for advances, and special servicing fees. We lowered our ratings on classes E and F to 'D (sf)' due to interest shortfalls that we expect will continue for the foreseeable future. If the interest shortfalls to MSC 2005-RR6 continue, we will evaluate the shortfalls and may take further rating actions as we determine appropriate. According to the April 24, 2012, trustee report, 58 CMBS classes ($273.1 million, 100%) from 39 distinct transactions issued between 1996 and 2005 collateralize MSC 2005-RR6. Our analysis of MSC 2005-RR6 reflected the transaction's exposure to the following CMBS certificates that Standard & Poor's has downgraded: -- PNC Mortgage Acceptance Corp.'s series 2000-C2 (classes J and K; $14.2 million, 5.2%); -- Morgan Stanley Capital I Trust 2005-HQ5 (class J; $10.0 million, 3.7%); and -- LB-UBS Commercial Mortgage Trust 2000-C5 (classes G and F; $9.0 million, 3.3%). Standard & Poor's will continue to review whether, in its view, the ratings assigned to the notes remain consistent with the credit enhancement available to support them and take rating actions as it deems necessary. STANDARD & POOR'S 17G-7 DISCLOSURE REPORT SEC Rule 17g-7 requires an NRSRO, for any report accompanying a credit rating relating to an asset-backed security as defined in the Rule, to include a description of the representations, warranties and enforcement mechanisms available to investors and a description of how they differ from the representations, warranties and enforcement mechanisms in issuances of similar securities. The Rule applies to in-scope securities initially rated (including preliminary ratings) on or after Sept. 26, 2011. If applicable, the Standard & Poor's 17g-7 Disclosure Report included in this credit rating report is available atRELATED CRITERIA AND RESEARCH -- Global CDOs Of Pooled Structured Finance Assets: Methodology And Assumptions, published Feb. 21, 2012. -- Global Structured Finance Scenario And Sensitivity Analysis: The Effects Of The Top Five Macroeconomic Factors, published Nov. 4, 2011. -- Rating U.S. CMBS In The Face Of Interest Shortfalls, published Feb. 23, 2006. -- General Cash Flow Analytics For CDO Securitizations, published Aug. 25, 2004. RATINGS LOWERED AND REMOVED FROM CREDITWATCH NEGATIVE Morgan Stanley Capital I Inc. Commercial mortgage-backed securities pass-through certificates series 2005-RR6 Rating Class To From A-3FX BBB- (sf) A (sf)/Watch Neg A-3FL BBB- (sf) A (sf)/Watch Neg A-J B- (sf) BBB (sf)/Watch Neg B CCC- (sf) BB- (sf)/Watch Neg C CCC- (sf) B (sf)/Watch Neg D CCC- (sf) B- (sf)/Watch Neg E D (sf) CCC- (sf)/Watch Neg F D (sf) CCC- (sf)/Watch Neg RATINGS AFFIRMED, REMOVED FROM CREDITWATCH, AND WITHDRAWN Morgan Stanley Capital I Inc. Commercial mortgage-backed securities pass-through certificates series 2005-RR6 Rating Class To Interim From A-2FX NR A (sf) A (sf)/Watch Neg A-2FL NR A (sf) A (sf)/Watch Neg NR-Not rated.

Source: Reuters