S&P cuts 2 Kmart lease deals

Standard & Poor's downgraded two Kmart Corp.-related credit lease transactions to D from C including cutting DR Structured Finance Corp.'s $223.116 million secured lease trust passthrough certificates series 1994 K-1 due 2019 Class A-1, Class A-2, Class A-3 and $204.964 million secured lease trust passthrough certificates series 1993 K-1 due 2018 Class A-1 and Class A-2 to D from C.

S&P said the lowered ratings follow the allocation of realized losses to certificate holders following the disposition of properties formerly leased to Kmart.

DR Structured Finance Corp. 1993 K-1 experienced a 66% loss severity on a $4.7 million loan secured by a property formerly tenanted by a Kmart in Pascagoula, Miss.

DR Structured Finance Corp. 1994 K-1 experienced a 53% loss severity on a $5.8 million loan secured by a property formerly tenanted by Kmart in Palm Coast, Fla.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.