Fitch Affirms Bear Stearns 2007-TOP28; Assigns Outlooks

Business Wire, Oct 16, 2008

CHICAGO -- Fitch Ratings has affirmed all classes of notes for Bear Stearns Commercial Mortgage Securities Trust's commercial mortgage pass-through certificates, series 2007-TOP28, and assigned Rating Outlooks as outlined below:

--$73.5 million class A-1 at 'AAA'; Outlook Stable;

--$63.2 million class A-2 'AAA'; Outlook Stable;

--$79.8 million class A-3 at 'AAA'; Outlook Stable;

--$76.4 million class A-AB at 'AAA'; Outlook Stable;

--$841.7 million class A-4 at 'AAA'; Outlook Stable;

--$145.6 million class A-1A at 'AAA'; Outlook Stable;

--$176.1 million class A-M at 'AAA'; Outlook Stable;

--$114.5 million class A-J at 'AAA'; Outlook Stable;

--Interest-only class X-1 at 'AAA'; Outlook Stable;

--Interest-only class X-2 at 'AAA'; Outlook Stable;

--$30.8 million class B at 'AA'; Outlook Stable;

--$15.4 million class C at 'AA-'; Outlook Stable;

--$28.6 million class D at 'A'; Outlook Stable;

--$22.0 million class E at 'A-'; Outlook Stable;

--$17.6 million class F at 'BBB '; Outlook Stable;

--$19.8 million class G at 'BBB'; Outlook Stable;

--$15.4 million class H at 'BBB-'; Outlook Stable;

--$2.2 million class J at 'BB '; Outlook Stable;

--$2.2 million class K at 'BB'; Outlook Stable;

--$2.2 million class L at 'BB-'; Outlook Stable;

--$4.4 million class M at 'B '; Outlook Stable;

--$4.4 million class N at 'B'; Outlook Stable;

--$2.2 million class O at 'B-'; Outlook Stable.

Fitch does not rate the $17.6 million class P.

The rating affirmations reflect minimal paydown since issuance and stable performance of the pool. As of the September 2008 distribution date, the transaction has paid down by 0.31% to $1.756 billion from $1.761 billion at issuance. Rating Outlooks reflect the likely direction of any rating changes over the next one to two years.

There are no scheduled maturities until 2011. There have been no specially serviced loans since issuance. Fitch has identified seven loans (1.4%) as Loans of Concern. The largest Fitch Loan of Concern (0.3%) is secured by a hotel property in Bend, OR. The servicer reported DSCR for the year end 2007 is 0.84 times (x). However, 28 rooms were not added until September 2007, which should increase room revenue for 2008.

There are nine shadow rated loans within the transaction (22.5%). The largest, Easton Town Center (9.7%) is secured by a regional mall located in Columbus, Ohio. Occupancy as of June 30, 2008 was 93%, consistent with the occupancy at issuance. The third largest shadow rated loan, Cove Apartments (1.7%), reported an 28% drop in net operating income for the first quarter of 2008 as compared to at issuance. Occupancy at the property, located in Phoenix, AZ, has dropped to 78.7% from 91% at issuance due to the submarket's decline in employment growth and oversupply of rental units. Fitch will continue to monitor this loan's performance. All of the loans maintain investment grade shadow ratings.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, 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.