KBRA Downgrades Seven Ratings and Affirms All Other Ratings for Benchmark 2020-B16
30 Jan 2026 | New York
KBRA downgrades seven ratings and affirms all other outstanding ratings for Benchmark 2020-B16, an $870.6 million CMBS conduit transaction. The rating actions follow a surveillance review of the transaction, which has exhibited a worsening in pool performance since KBRA's last ratings change in January 2025, including an increase in the number of loans identified as KLOCs. The rating actions also reflect an increase in estimated losses for three K-LOCs (14.8%) and the resulting loss adjusted C/E levels.
As of the January 2026 remittance period, one asset (3.8% of the pool balance) is REO and two loans (9.0%) are specially serviced. KBRA identified seven loans as K-LOCs (25.8%), including the specially serviced loans. Three of the K-LOCs (14.8%) have estimated losses. The K-LOCs are depicted in the table below:
Excluding K-LOCs with estimated losses, the transaction's WA KLTV is 93.4%, compared to 97.1% at KBRA's last ratings change in January 2025 and 90.3% at securitization. The WA KDSC is 2.99x, compared to 2.96x at last ratings change and 2.92x at securitization.
Details concerning the classes with ratings changes are as follows:
- Class D to BBB- (sf) from BBB+
- Class E to B- (sf) from BBB- (sf)
- Class F to CCC (sf) from B- (sf)
- Class G to CC (sf) from CCC (sf)
- Class X-D to B- (sf) from BBB- (sf)
- Class X-F to CCC (sf) from B- (sf)
- Class X-G to CC (sf) from CCC (sf)
To access ratings and relevant documents, click here.
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