On The Ground With Pooled Ground Lease ABS
Pooled ground lease securitizations are a novel approach involving a familiar asset (ground-leased properties), where the cash flow collateral would be the ground leases themselves, and not loans secured by liens on ground-leased properties.
The credit profile of a pooled ground lease securitization would center on legal risks, asset quality, and servicing considerations.
While the characteristics of the assets themselves in a pooled ground lease transaction--and our approach to analyzing the risks–-will naturally share many similarities with those in a CMBS transaction, there are important distinctions.
Source: S&P Global Ratings.
