Press Release|CMBS
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KBRA Downgrades One Rating of JPMBB 2014-C26 to D(sf) Following Realization of Principal Losses

30 Mar 2026   |   New York

Contacts

KBRA downgrades the rating of the Class F certificate to D (sf) from C (sf) for JPMBB 2014-C26, a $240.8 million CMBS conduit transaction, following realized losses incurred from the resolution of the Heron Lakes REO asset ($52.0 million loan balance at issuance) as reflected in the March 2026 remittance report. The asset was a 314,504 sf, Class-B suburban office complex comprised of seven office buildings located in Houston, Texas, approximately 13 miles northwest of the CBD. The asset was liquidated for net proceeds totaling $13.1 million. As of the March 2026 distribution date, liquidation expenses totaled $17.2 million, resulting in a $46.2 million cumulative loss (100% loss severity on the outstanding balance at disposition), of which, $42.8 million was applied to the transactions remaining certificate balance after $3.4 million in non-recoverable advances were dispersed to the trust. An appraisal dated November 2024 valued the property at $18.5 million ($59 per sf), which is 73.9% below the $71.0 million ($226 per f) value at issuance.

According to the March 2026 remittance report, cumulative principal losses on the transaction totaled $65.3 million. Following the liquidation, the certificate balance for the class NR was reduced to zero and the realized losses resulted in the principal balance of Class F being reduced to $18.1 million (71.2% of the original certificate balance).

KBRA's other outstanding ratings for the transaction are unchanged at this time.

Rating Sensitivities

Future rating actions will be dependent upon the ongoing assessment of the timing and likelihood of ultimate payment of principal and accrued interest on the rated certificates. The assessment will consider the expected and actual losses on the remaining assets in the transaction, as well as, the magnitude and extent of interest shortfalls, if any,on the certificates.

To access ratings and relevant documents, click here.

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Methodologies

Disclosures

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1014212