The Caisse de dépot et placement du Québec has announced the first issue of commercial mortgage-backed securities (CMBSs) in Canada.
The $254.1m issue, which is being made by N-45 First CMBS Issuer Corporation, is secured by 99 commercial mortgages, themselves secured by 114 properties. The buildings comprises hotels, offices, industrial and residential buildings located mainly in Montréal, Québec City and Montérégie.
The issue was received well by the Canadian Bond Rating Service and Moody’s with 85% of the tranche being assigned AAA. This is a higher level than is usually assigned for similar transactions in the US and Europe.
