KBRA Assigns Preliminary Ratings to BX 2026-AIRC, Backed by $3.34 Billion Multifamily Loan

KBRA assigned preliminary ratings to four classes of BX 2026-AIRC, a CMBS single-borrower securitization collateralized by a $3.340 billion floating-rate, interest-only mortgage loan on 29 multifamily properties, Business Wire reported on November 2, 2026. The portfolio holds 9,389 units across eight states and Washington, D.C.

Inside the BX 2026-AIRC Loan Structure

The loan is expected to carry an initial two-year term with three one-year extension options and to require monthly interest-only payments. It is secured by the borrower's fee simple and leasehold interests in the 29 properties, which range from 78 to 770 units, were built between 1958 and 2022, and average roughly 37 years old. As of October 2026, the portfolio was 94.2% leased.

Florida accounts for 34.2% of the portfolio, followed by California at 30.6%, Maryland at 9.0%, Colorado at 6.0% and Pennsylvania at 5.7%. KBRA said its analysis used its North American CMBS Property Evaluation Methodology, its North American CMBS Single Borrower & Large Loan Rating Methodology and its Global Structured Finance Counterparty Methodology for counterparty risk.

The analysis produced a KBRA net cash flow of approximately $221.4 million, 3.5% below the issuer's figure, and a KBRA value of $3.12 billion, 27.9% below the appraiser's aggregate as-is values. The resulting in-trust KBRA loan-to-value is 107.1%. KBRA said it also reviewed third-party engineering, environmental and appraisal reports, site inspection results and legal documentation.

KBRA's Recent Rating Assignments

On November 2, 2026, KBRA assigned preliminary ratings to Diamond Infrastructure Funding LLC's Series 2026-1 notes, a refinancing of its 2021-1 notes, and to Blue Stream Issuer, LLC Series 2026-1, a communications infrastructure securitization, according to FinancialContent Business Page. On October 29, 2026, KBRA assigned preliminary ratings to five classes of notes in RKTL 2026-4, an asset-backed securitization of unsecured consumer loans totaling $489.409 million, with initial credit enhancement ranging from 40.52% for Class A to 7.47% for Class E, FinancialContent Business Page reported.

KBRA's October CMBS Delinquency Reading

On October 30, 2026, KBRA reported U.S. Private-label CMBS delinquency at 7.7% in October 2026, down 2 basis points from September, while distress rose 4 basis points to 10.3%, according to FinancialContent Business Page. The BX 2026-AIRC loan carries three one-year extension options beyond its initial two-year term. KBRA's ratings and documents for the transaction are available through the agency's website.