-

KBRA Releases Research – KBRA CMBS Loss Compendium Update: June 2025

NEW YORK--(BUSINESS WIRE)--KBRA releases the June 2025 issue of the KBRA CMBS Loss Compendium, providing updated loss estimates for all 375 KBRA-rated outstanding conduit transactions. The report, together with the accompanying spreadsheet, also includes data on lifetime realized losses for 13 conduits whose ratings have been withdrawn following payoffs.

The compendium uses the following two metrics to present the loss figures: KBRA Lifetime Base Loss (KLBL), which represents our loss estimate for each transaction during its lifetime as a percentage of its original balance; and KBRA Future Base Loss (KFBL), which represents potential future losses as a percentage of outstanding deal balance as of the most recent rating action date.

As of June 2025, the average KLBL (as a % of original deal balance) reached 5.5% (ranging from 2.1% to 19.1%)—the highest recorded level to date. This compares to 5.3% in December 2024 and 5% in June 2024. The average KFBL (as a % of review date deal balance) increased to 10.9% (ranging from 2.7% to 88.4%). This marks a continued upward trend, increasing from 9.9% in December 2024 and 8.4% in June 2024. The continued upward trend in our loss estimates reflects increased losses in the more seasoned vintages and an increase in KBRA’s conduit distress rate—which includes both delinquent loans and current but specially serviced loans— increasing 340 basis points (bps) over the past year to 11.5% as of June 2025.

Click here to view the report.

Related Publications

About KBRA

KBRA, one of the major credit rating agencies, is registered in the U.S., EU, and the UK. KBRA is recognized as a Qualified Rating Agency in Taiwan, and is also a Designated Rating Organization for structured finance ratings in Canada. As a full-service credit rating agency, investors can use KBRA ratings for regulatory capital purposes in multiple jurisdictions.

Doc ID: 1010223

Contacts

Jay Mody, Associate
+1 646-731-2359
jay.mody@kbra.com

Neel Munot, Senior Director
+1 646-731-1215
neel.munot@kbra.com

Robert Grenda, Managing Director
+1 215-882-5494
robert.grenda@kbra.com

Nitin Bhasin, Senior Managing Director, Global Head of CMBS
+1 646-731-2334
nitin.bhasin@kbra.com

Business Development Contact

Andrew Foster, Director
+1 646-731-1470
andrew.foster@kbra.com

Kroll Bond Rating Agency, LLC

Details
Headquarters: New York City, New York
CEO: Jim Nadler
Employees: 400+
Organization: PRI

Release Versions

Contacts

Jay Mody, Associate
+1 646-731-2359
jay.mody@kbra.com

Neel Munot, Senior Director
+1 646-731-1215
neel.munot@kbra.com

Robert Grenda, Managing Director
+1 215-882-5494
robert.grenda@kbra.com

Nitin Bhasin, Senior Managing Director, Global Head of CMBS
+1 646-731-2334
nitin.bhasin@kbra.com

Business Development Contact

Andrew Foster, Director
+1 646-731-1470
andrew.foster@kbra.com

Social Media Profiles
More News From Kroll Bond Rating Agency, LLC

KBRA Assigns Preliminary Ratings to ByzFunder Asset Securitization I, LLC, Series 2026-1

NEW YORK--(BUSINESS WIRE)--KBRA assigns preliminary ratings to three classes of notes (the “Notes”) issued by ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder NY LLC (“ByzFunder,” or the “Company”) is the Sponsor, Seller, and Servicer for ByzFunder Asset Securitization I, LLC, Series 2026-1. ByzFunder was founded in 2019 and is headquartered in New York, NY, with an additional office in Tampa, FL. The Company is a specialty finance company that provides working capital financing...

KBRA Assigns Rating to Frontline Insurance Reciprocal Exchange

NEW YORK--(BUSINESS WIRE)--KBRA assigns a BBB+ Insurance Financial Strength Rating (IFSR) to Frontline Insurance Reciprocal Exchange (“FIRE” or the “Exchange”). The Outlook for the rating is Stable. Key Credit Considerations FIRE is a newly formed Florida-domiciled reciprocal insurer established to write admitted Florida residential property business, primarily homeowners and fire/dwelling coverage. The rating reflects adequate initial capitalization and manageable projected underwriting levera...

KBRA Releases Research – European Data Centre Event—KBRA Event Recap

LONDON--(BUSINESS WIRE)--KBRA releases a recap of its European Data Centre Event in London on 20 May, bringing together sector experts, investors, issuers, operators, bankers, and other market participants for an afternoon of discussions on the key themes shaping the European data centre landscape. The programme focused on how artificial intelligence (AI)-driven demand, power availability, development constraints, evolving financing approaches, and investor underwriting considerations are influ...
Back to Newsroom