Fitch Ratings has affirmed ten classes of
The Outlook for class B has been revised to Stable from Negative.
RATING ACTIONS
Entity / Debt
Rating
Prior
JPMBB 2013-C14
A-4 46640LAD4
LT
AAAsf
Affirmed
AAAsf
A-S 46640LAH5
LT
AAAsf
Affirmed
AAAsf
A-SB 46640LAE2
LT
AAAsf
Affirmed
AAAsf
B 46640LAJ1
LT
Asf
Affirmed
Asf
C 46640LAK8
LT
BBBsf
Affirmed
BBBsf
D 46640LAN2
LT
B-sf
Affirmed
B-sf
E 46640LAQ5
LT
CCCsf
Affirmed
CCCsf
F 46640LAS1
LT
CCsf
Affirmed
CCsf
G 46640LAU6
LT
Csf
Affirmed
Csf
Page
of 2
VIEW ADDITIONAL RATING DETAILS
KEY RATING DRIVERS
Stable Loss Expectations: While loss expectations remain high due to two regional malls (26.2%) in special servicing, the Outlook revision to Stable from Negative for class B reflects the generally stable performance of the other remaining loans in the pool and Fitch's expectation of paydown from maturing loans (all of the loans in the pool are scheduled to mature between June and August 2023).
Fitch's current ratings incorporate a base case loss of 15.6%. The Negative Rating Outlooks on classes C and D reflect the possibility of a downgrade should performance and/or values of the malls decline further or should loans have difficulty refinancing as they approach their respective maturity dates.
The largest loan in special servicing (and second largest loan in the pool; 14.7%) is the
Performance continues to struggle with the YE 2021 NOI 9% below
The loan transferred to the special servicer in
The second largest loan in special servicing and largest contributor to expected losses is the
The property also has vacant anchor spaces, including a 219,400-sf (non-collateral) anchor space previously leased to
As of
The loan transferred to the special servicer in
Defeasance/Improved Credit Enhancement (CE) Since Issuance: Seven loans (34.8%) are fully defeased, including the largest loan in the pool,
Pool Concentration; Alternative Loss Consideration: There are 27 loans remaining in the pool. Due to the increasing concentration of the pool, Fitch performed a look-through analysis in addition to its base case scenario, which grouped the remaining loans based on the likelihood of repayment. The ratings and Outlooks reflect this analysis in addition to a scenario in which the two specially serviced regional malls are the only remaining loans in the pool.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative rating action/downgrade:
Sensitivity factors that lead to downgrades include an increase in pool-level losses from underperforming or specially serviced loans/assets. Downgrades to classes A-4, A-S, A-SB and interest only X-A are not likely due to the position in the capital structure, but may occur should interest shortfalls affect these classes.
Downgrades to classes B, C and D are possible should expected losses for the pool increase significantly, loans fail to repay at their respectively maturities and/or both the
Fitch has identified both a baseline and a worse-than-expected, adverse stagflation scenario based on fallout from the
Factors that could, individually or collectively, lead to positive rating action/upgrade:
Upgrades are currently not expected given the retail outlook on regional malls and uncertainty surrounding the resolution of the
Best/Worst Case Rating Scenario
International scale credit ratings of Structured Finance transactions have a best-case rating upgrade scenario (defined as the 99th percentile of rating transitions, measured in a positive direction) of seven notches over a three-year rating horizon; and a worst-case rating downgrade scenario (defined as the 99th percentile of rating transitions, measured in a negative direction) of seven notches over three years. The complete span of best- and worst-case scenario credit ratings for all rating categories ranges from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings are based on historical performance. For more information about the methodology used to determine sector-specific best- and worst-case scenario credit ratings, visit https://www.fitchratings.com/site/re/10111579.
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action.
REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING
The principal sources of information used in the analysis are described in the Applicable Criteria.
ESG Considerations
Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. For more information on Fitch's ESG Relevance Scores, visit www.fitchratings.com/esg.
Additional information is available on www.fitchratings.com
PARTICIPATION STATUS
The rated entity (and/or its agents) or, in the case of structured finance, one or more of the transaction parties participated in the rating process except that the following issuer(s), if any, did not participate in the rating process, or provide additional information, beyond the issuer's available public disclosure.
APPLICABLE CRITERIA
Global Structured Finance Rating Criteria (pub.
Structured Finance and Covered Bonds Counterparty Rating Criteria (pub.
APPLICABLE MODELS
Numbers in parentheses accompanying applicable model(s) contain hyperlinks to criteria providing description of model(s).
CMBS Conduit Surveillance Model, v1.20.0 (1)
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