Fitch Issues Presale on FREMF 2012-K23 Multifamily Mtge PT Ctfs and Freddie Mac SPC Series K-023

  Fitch Issues Presale on FREMF 2012-K23 Multifamily Mtge PT Ctfs and Freddie
  Mac SPC Series K-023

Business Wire

NEW YORK -- December 05, 2012

Fitch Ratings has issued a presale report on FREMF 2012-K23 Multifamily
Mortgage Pass-Through Certificates and Freddie Mac Structured Pass-Through
Certificates, Series K-023.

Fitch expects to rate the transaction and assign Rating Outlooks as follows:

FREMF 2012-K23 Multifamily Mortgage Pass-Through Certificates

--$202,136,000 class A-1 'AAAsf'; Outlook Stable;

--$944,939,000 class A-2 'AAAsf'; Outlook Stable;

--$1,147,075,000* class X1 'AAAsf'; Outlook Stable;

--$1,147,075,000* class X2-A 'AAAsf'; Outlook Stable;

--$85,602,000 class B 'A-sf'; Outlook Stable

--$34,241,000 class C 'BBBsf'; Outlook Stable.

Freddie Mac Structured Pass-Through Certificates, Series K-023

--$202,136,000 class A-1 'AAAsf'; Outlook Stable;

--$944,939,000 class A-2 'AAAsf'; Outlook Stable;

--$1,147,075,000* class X1 'AAAsf'; Outlook Stable.

*Notional amount and interest only.

The expected ratings are based on information provided by the issuer as of
Nov. 30, 2012. Fitch does not expect to rate the following classes of FREMF
2012-K23: the $222,566,927 interest-only class X2-B, the $222,566,927
interest-only class X3, or the $102,723,927 class D. Fitch does not expect to
rate the $222,566,927 interest-only class X3 of the Structured Pass-Through
Certificates, Series K-023.

The certificates represent the beneficial interests in a pool of 76 commercial
mortgages secured by 76 properties. The Freddie Mac Structured Pass-Through
Certificates, Series K-023 (Freddie Mac SPC K-023) represents a pass-through
interest in the corresponding class of securities issued by FREMF 2012-K23.
Each Freddie Mac SPC K-023 security has the same designation as its underlying
FREMF 2012-K23 class. All loans were originated by various seller/servicers
according to the guidelines of the Freddie Mac Capital Markets Execution (CME)
product. The certificates follow a sequential-pay structure.

Fitch reviewed a comprehensive sample of the transaction's collateral,
including site inspections on 73.1% of the properties by balance and cash flow
analysis of 73.8% of the pool.

The transaction has a Fitch stressed debt service coverage ratio (DSCR) of
1.03x, a Fitch stressed loan-to value (LTV) of 115.1%, and a Fitch debt yield
of 7.27%. Fitch's aggregate net cash flow represents a variance of 5.92% to
issuer cash flows.

The Master Servicer and Special Servicer will be Wells Fargo Bank, National
Association and Midland Loan Services, Inc., rated 'CMS2' and 'CSS1',
respectively, by Fitch.

The presale report is available at 'www.fitchratings.com.'

Additional information is available at 'www.fitchratings.com'. The ratings
above were solicited by, or on behalf of, the issuer, and therefore, Fitch has
been compensated for the provision of the ratings.

Applicable Criteria and Related Research:

--'Criteria for Analyzing Multiborrower U.S. Commercial Mortgage Transactions'
(Aug. 8, 2012);

--'U.S. Commercial Mortgage Servicer Rating Criteria' (Feb. 18, 2011);

--'Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions' (Nov. 16,
2011);

--'Global Structured Finance Rating Criteria' (Aug. 4, 2011);

--'Criteria for Special-Purpose Vehicles in Structured Finance Transactions'
(June 13, 2011).

Applicable Criteria and Related Research: FREMF 2012-K23 Multifamily Mortgage
Pass-Through (US CMBS)

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=696214

Criteria for Analyzing Multiborrower U.S. Commercial Mortgage Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=685995

U.S. Commercial Mortgage Servicer Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=584005

Surveillance Methodology for U.S. Fixed-Rate CMBS Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=662869

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=679923

Criteria for Special-Purpose Vehicles in Structured Finance Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=680591

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS.
PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK:
HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING
DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S
PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND
METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF
CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL,
COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM
THE 'CODE OF CONDUCT' SECTION OF THIS SITE.

Contact:

Fitch Ratings
Primary Analyst:
Michelle Gilbert, +1-212-908-0892
Director
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Secondary Analyst:
Clement Okeke, +1-312-606-2323
Analyst
or
Committee Chairperson:
Eric Rothfeld, +1-212-908-0761
Managing Director
or
Sandro Scenga, +1-212-908-0278
Media Relations, New York
sandro.scenga@fitchratings.com
 
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