KBRA Affirms All Ratings for VMC 2023-PV1
18 Jul 2025 | New York
KBRA affirms all of its outstanding ratings for VMC 2023-PV1, a CRE CLO transaction with the ability to reinvest principal proceeds for 24 months. The affirmations follow a surveillance review of the transaction, which has exhibited stable collateral performance since securitization.
At the time of this review, the total collateral balance is $480.5 million, which is comprised of 19 first mortgage loans secured by 19 properties, and approximately $20,000 of cash collateral. During the reinvestment period, which ends in July 2025, principal proceeds received with respect to the mortgage assets, can be reinvested in previously unidentified whole loans and senior participations, provided the assets meet certain specified eligibility criteria. Additionally, the transaction provides the sponsor with the ability to effectuate modifications to performing loans, as well as buy out defaulted and credit risk assets. As of the June 2025 remittance period, there are no specially serviced loans; however, one loan (5.6% of the pool balance) has been identified as a K-LOC and is depicted in the table below:
The transaction’s WA KLTV is 126.7%, compared to 127.9% at last review and 126.3% at securitization. The KDSC at Index Cap is 0.88x, compared to 0.91x at last review and 0.94x at securitization. The overcollateralization and interest coverage tests have each been satisfied during each distribution date since issuance.
At securitization, 14 loans (71.7% of the collateral balance) had related companion participations representing unfunded future advance obligations, with an aggregate unfunded amount of $38.7 million. In total, there are currently 10 loans (66.1%), with unfunded future advance obligations with an aggregate of $11.6 million unfunded.
To access ratings and relevant documents, click here.
Click here to view the report.