DUBLIN--(BUSINESS WIRE)--Kroll Bond Rating Agency Europe Limited (KBRA) assigns preliminary ratings to seven classes of notes to be issued by Summerhill Residential 2021-1 DAC (Summerhill Residential). The transaction is a static RMBS securitisation backed by predominantly reperforming mortgage loans (RPL). The underlying collateral consists of a €298.9 million mixed portfolio of seasoned first lien performing and re-performing mortgages that are secured by majority owner occupied (OO) and buy-to-let (BTL) properties located in Ireland. The portfolio includes mortgages originated by four Irish originators, Irish Nationwide Building Society (45.8%, INBS), Bank of Scotland plc/Bank of Scotland (Ireland) Limited (34.8%), Start Mortgages DAC (16.8%, Start) and Nua Mortgages Limited (2.6%, Nua). Summerhill Residential comprises loans which collateralised Shamrock Residential 2019-1 DAC (Shamrock 2019-1) which is the seller in the transaction. Summerhill Residential is essentially a refinancing of the notes currently outstanding under Shamrock 2019-1 transaction. The loans comprising Summerhill Residential portfolio will initially be serviced by Start (54.2%) and Pepper Finance Corporation (Ireland) DAC (Pepper;45.8%). The Shamrock 2019-1 portfolio loans were acquired by Lone Star as part of the acquisition of Start Mortgages DAC and purchase of various Irish mortgage portfolios since December 2014. Part of the Summerhill Residential portfolio, currently serviced by Start, is planned to be transferred over to Pepper.
- European RMBS Rating Methodology
- European RMBS Rating Methodology Country Addendum: United Kingdom
- Global Structured Finance Counterparty Methodology
- ESG Global Rating Methodology
Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.
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About KBRA Europe
Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency 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 pursuant to the Temporary Registration Regime. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider. Kroll Bond Rating Agency Europe is located at 6-8 College Green, Dublin 2, Ireland.