

Deutsche Bank has released pricing guidance for its DECO 2015-HARP CMBS, the first secured by Irish collateral since 2006.
The full capital structure is as follows:
Class | Size (€m) | Expected rating | Expected pricing (bps over Euribor) |
A | 90 | AA- | 120 |
B | 55 | AA- | 150 |
C | 17.5 | A- | 260 |
D | 12.5 | BB+ | 400 |
Total | 174.98 |
As lead manager and sole bookrunner Deutsche Bank will retain 5% of the notes in each class. The deal is likely to be rated by S&P and Moody’s.
The three loans making up the underlying collateral are:
The Shamrock loan, an €87.6m facility taken out by Comer Group and secured against 12 residential assets in Dublin, Galway and Cork.
The New York loan, a €47.5m loan to Kennedy Wilson Europe Real Estate and secured against its Vantage building at Central Park in Dublin.
The Boland loan, a €39.9m loan taken out by Paddy McKillen and Johnny Ronan secured against the Treasury Building in Dublin.
A portion of any prepayment fees received during the lifetime of the loans will be passed back to noteholders – 10% for the Shamrock loan, 10% for the New York loan and 20% for the Boland loan. The remainder will be kept by Deutsche Bank.
The notes have an expected maturity of April 2022 and a legal final maturity of April 2027. The deal is made-up of three loans secured against 18 properties. They have a remaining average loan term to next break of 4.6 years. The residential, office and retail properties are located 88% in Dublin, 8% in Cork and 4% in Galway.