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Moody's Investors Service Inc.

Moody's Assigns Provisional Ratings to BFLD Trust 2025-EWEST CMBS Securities

Strategic Insights

— 1 min read

Moody's Investors Service has issued a news release assigning provisional ratings to six classes of CMBS securities, to be issued by BFLD Trust 2025-EWEST, Commercial Mortgage Pass-Through Certificates, Series 2025-EWEST. The certificates are collateralized by a first lien mortgage on 1 Eagle Street, a 39-story tower in the Greenpoint neighborhood of Brooklyn, NY, housing 745 multifamily units and 7,862 SF of ground floor commercial space. The property was built in 2022 and is of Class A+ quality. Our ratings are based on the credit quality of the loan and the strength of the securitization structure.

Key Takeaways:

  • The certificates are collateralized by a first lien mortgage on 1 Eagle Street, a 39-story tower in the Greenpoint neighborhood of Brooklyn, NY, housing 745 multifamily units and 7,862 SF of ground floor commercial space.
  • The property was built in 2022 and is of Class A+ quality, with a 99.2% Moody's LTV ratio.
  • The loan has a first mortgage balance of $400,000,000, with a Moody's DSCR of 1.21x and a stressed DSCR of 0.82x.
  • The income qualifications for the affordable units are based on area's median income thresholds of 80, 125, and 130 percent.
  • A 421a real estate tax abatement is received in return for maintaining affordability requirements.
  • The property offers approximately 42,000 SF of high-end amenity space, including crash pad, coworking space, fitness center & yoga studio, spin studio, and indoor & outdoor pools.
  • The principal methodology used in these ratings was "Large Loan and Single Asset/Single Borrower Commercial Mortgage-backed Securitizations" published in January 2025.
  • Notable strengths of the transaction include asset quality, strong location, submarket performance, and experienced sponsorship.
  • Notable concerns of the transaction include interest-only loan profile, limited stabilized operating history, and lack of asset diversification.

Statistics:

  • Moody's LTV ratio: 99.2%
  • Moody's first mortgage actual DSCR: 1.21x
  • Moody's first mortgage actual stressed DSCR: 0.82x
  • Property has 745 multifamily units and 7,862 SF of ground floor commercial space
  • Property was built in 2022 and is of Class A+ quality
  • Affordable units require income qualifications based on area's median income thresholds of 80, 125, and 130 percent

Sources:

  • Moody's Investors Service, "BFLD Trust 2025-EWEST CMBS Securities," March 2025
  • Moody's Investors Service, "Large Loan and Single Asset/Single Borrower Commercial Mortgage-backed Securitizations," January 2025

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