KBRA Assigns Preliminary Ratings to New York State Energy Research and Development Authority Residential Solar Financing Green Revenue Bonds, Series 2018A

NEW YORK--()--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to eight classes of notes issued by New York State Energy Research and Development Authority Residential Solar Financing Green Revenue Bonds, Series 2018A (“NYSERDA 2018A Bonds”).

NYSERDA will issue a term bond and seven serial bonds in an aggregate principal amount of $18.5 million with an expected closing date of March 21, 2018. The solar loans are unsecured consumer loans to borrowers in the State of New York. This transaction is structured with all senior bonds supported by overall enhancement of 28.90% (overcollateralization plus reserve account). This transaction will contain approximately $25 million of solar loans at closing out of an expected collateral balance of $25.5 million after completion of the three-month prefunding period.

New York State Energy Research and Development Authority (“NYSERDA”) is a public benefit corporation created in 1975 pursuant to Title 9, Article 8 of the Public Authorities Law of the State of New York, as amended (known as the New York State Energy Research and Development Authority Act). NYSERDA was formed to develop and encourage the use of energy conservation technologies by developing and implementing new energy technologies consistent with economic, social and environmental objectives.

KBRA applied its Global General Rating Methodology for Asset-Backed Securities as part of its analysis of the transaction’s underlying collateral pool and the proposed capital structure. KBRA has performed an operational review of Concord in October 2017 at their headquarters in Scottsdale, AZ and had a call with NYSERDA, as well as a review of the transaction’s legal structure and transaction documents. KBRA will review operative agreements and legal opinions for the transaction prior to closing.

Preliminary Ratings Assigned: New York State Energy Research and Development
Authority Residential Solar Financing Green Revenue Bonds, Series 2018A

   
Class   Preliminary Rating  

Expected Initial Class
Principal

Serial 2020   A (sf)   $1,600,000
Serial 2021   A (sf)   $1,500,000
Serial 2022   A (sf)   $1,500,000
Serial 2023   A (sf)   $1,300,000
Serial 2024   A (sf)   $1,100,000
Serial 2025   A (sf)   $1,100,000
Serial 2026   A (sf)   $1,000,000
Term 2034   A (sf)   $9,400,000

Representations & Warranties Disclosure

All Nationally Recognized Statistical Rating Organizations are required, pursuant to SEC Rule 17g-7, to provide a description of a transaction’s representations, warranties and enforcement mechanisms that are available to investors when issuing credit ratings. KBRA’s disclosure for this transaction can be found in the report available here.

Related Publications: (available at www.kbra.com)

CONNECT WITH KBRA

Twitter
LinkedIn
Download the iOS App
YouTube

About KBRA and KBRA Europe

KBRA is a full service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. In addition, KBRA is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider and a certified Credit Rating Agency (CRA) by the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe Limited is registered with ESMA as a CRA.

Contacts

Kroll Bond Rating Agency
Analytical:
Rosemary Kelley, Senior Managing Director
646-731-2337
rkelley@kbra.com
or
William Carson, Senior Director
646-731-2405
wcarson@kbra.com
or
Jenny Ovalle, Director
646-731-2309
jovalle@kbra.com
or
Michael Polvere, Analyst
646-731-3339
mpolvere@kbra.com

Contacts

Kroll Bond Rating Agency
Analytical:
Rosemary Kelley, Senior Managing Director
646-731-2337
rkelley@kbra.com
or
William Carson, Senior Director
646-731-2405
wcarson@kbra.com
or
Jenny Ovalle, Director
646-731-2309
jovalle@kbra.com
or
Michael Polvere, Analyst
646-731-3339
mpolvere@kbra.com