cmbs presentation_jianhao zeng

Contact:Jianhao Michael ZengM.S. in Real Estate FinanceClass of 2015NYUSchack Institute of Real Estate

michael.j.zeng@nyu.edu001 347-997-0664

JADS Capital, LLC

About JADS Capital, LLC

• Medium sized Asset Management Firm

• Seeking relatively defensive investments with potential for capital appreciation

• Specializing in Commercially Mortgage Backed Securities

Our Investment Choice• Comparison done between Morgan Stanley 1416 and Wells Fargo 1416 pool

• After careful analysis, we are confident that the Wells Fargo pool is the most well suited investment vehicle for our clients

Morgan Stanley 1416 Wells Fargo 1416

Trustee US Bank, National Association

Wilmington Trust, National Association

Master Servicer Wells Fargo Wells Fargo

Special Servicer LNR Partners LNR Partners

B – Piece Buyer N/A N/A

Rating Agencies Kroll, Moody’s Kroll, Moody’s, Dominion Bond

Original Lenders Morgan Stanley Mortgage Capital Holdings, B of A

Wells Fargo, Ladder Capital Finance, RBS, Rialto

Primary Servicers LNR Partners LNR Partners

More than one Master Servicer No No

More than one Special Servicer No No

MS1416 WF14160.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

Weighted Average Interest Rate

MS1416 WF14160.00 Years2.00 Years4.00 Years6.00 Years8.00 Years

10.00 Years12.00 Years14.00 Years16.00 Years

Weighted Average Maturity Time

•Fitch provided ratings for the Master and Special Servicers.

• Master: Wells Fargo Bank rated ‘CMS2’.• - Level 2 – Servicer demonstrates high performance in servicing ability.

• Special: LNR Partners LLC- Commercial Special: STRONG- Construction loan special: ABOVE AVERAGE- Financial position: SUFFICIENT- Management and Organization: STRONG- Loan administration: STRONG/ABOVE AVERAGE- Outlook: STABLE and POSITIVE

Servicer Ratings

Weight of Top Ten Loans: MS1416Arundel Mills & Marketplace; 11.4%

State Farm Portfolio; 7.9%

Green Hills Corporate

Center; 5.1%

Outlets of Mississippi; 4.9%

Marriott Phil-adelphia

Downtown; 4.7% Hilton San

Francisco Fi-nancial District;

4.1% La Concha

Hotel & Tower; 3.3%

Aspen Heights - Stillwater;

3.0%

Thunder Hollow Apartments; 2.4% Sprague Hotel Portfolio; 2.2%

Other 66 Loans; 50.9%

Weight of Top Ten Loans by asset class: MS1416

Retail16%

Hospitality14%

Office13%

Multifamily5%

Other Loans51%

RetailHospitalityOfficeMultifamilyOther Loans

Weight of Top Ten Loans: WF1416Woodbridge Center; 12.3%

Soho Beach House; 5.6%

Montgomery Mall; 5.5%

Pacific Design Center; 5.1%

Purgatory Creek Apartments; 3.2%

Weatherford Ridge; 3.2%

Harlequin Plaza; 2.9%Market Square at Montrose; 2.6%

JL Holdings - Burger King Portfolio - 90; 2.3%Security Self Storage SPX Portfolio; 2.3%

Other 72 Loans; 52.4%

Weight of Top Ten Loans by asset class: WF1416

Retail26%

Hospitality6%

Mixed Use5%

Multifamily3%

Office3%Self Storage

2%

Other Loans55%

RetailHospitalityMixed UseMultifamilyOfficeSelf StorageOther Loans

Loan 1MS1416 WF1416

Property Name Arundel Mills & Marketplace Woodbridge Center

Occupancy 99.6% 97.1%

% of pool Balance 11.4% 12.3%

Asset Type Retail Retail

Amortization Interest Only 36 Month IO/360 Month Amortization

DSCR 2.66x 1.16x

Memo: Anchored Property & Super Regional Mall. High

Quality Tenants. Bankruptcy or Economic Decline of anchor tenant

exposure.

Regional Mall & High Quality Tenants and

Location. Low DSCR ( 1.16x)

Loan 2MS1416 WF1416

Property Name State Farm Portfolio Soho Beach House

Occupancy 100% 85.6%

% of pool Balance 7.9% 5.6%

Asset Type Office Hospitality

Amortization Interest Only 21 Month IO/401 Month Amortization

DSCR 1.62x 0.95x

Memo: Diversification/Exposure to different markets.

Regulations in every state is different

Great Location, demand for hotels.

Old Building, low DSCR 0.95x(negative cash-flow),

Volatile market.

Loan 3MS1416 WF1416

Property Name Green Hills Corporate Center Montgomery Mall

Occupancy 99.1% 92.4%

% of pool Balance 5.1% 5.5%

Asset Type Office Retail

Amortization Full Amortization-360 Month Interest Only 120 Month

DSCR 1.79x 2.6x

Memo: Fully occupy, strong tenants (2). Location, depended on

their 2 tenants

Strong DSCR 2.6x.Bankruptcy or Economic Decline of anchor tenant

exposure.

Loan 4MS1416 WF1416

Property Name Outlets of Mississippi Pacific Design Center

Occupancy 95.4% 72.7%

% of pool Balance 4.9% 5.1%

Asset Type Retail Office

Amortization IO-60 month & Amortization 60 Month IO/ 360 Amortization

DSCR 1.42x 1.05x

Memo: Strong Tenants ( Saks Fifth Avenue, Forever 21 etc),

benefits from weak market conditions, Demand, New Building. Bankruptcy or

Economic Decline of anchor tenant exposure.

Mixed used (Design Center/office)

Low Occupancy, low DSCR, Largest tenant restaurant.

Loan 5MS1416 WF1416

Property Name Marriott Philadelphia Downtown Purgatory Creek Apartment

Occupancy 77.3% 94.4%

% of pool Balance 4.7% 3.2%

Asset Type Hospitality Multifamily

Amortization Full Amortization-360 Month 30 Month IO/ 360 Month Amortization

DSCR 1.56x 1.23x

Memo: Adjacent to Penn Convention Center

Two miles from Texas State University

Loan 6MS1416 WF1416

Property Name Hilton San Francisco Weatherford Ridge

Occupancy 91.2% 97%

% of pool Balance 4.1% 3.2%

Asset Type Hospitality Retail

Amortization IO-60 month & Amortization 36 Month IO/360 Month Amortization

DSCR 1.34x 1.34x

Memo: 91% average occupancy rate27% increase in RevPar

Nationally recognized tenant roster

Loan 7MS1416 WF1416

Property Name La Concha Hotel & Tower Harlequin Plaza

Occupancy 90.1% 88.6%

% of pool Balance 3.3% 2.9%

Asset Type Hospitality Office

Amortization Full Amortization-360 Month 120 Month IO

DSCR 1.57x 2.16X

Memo: Hotel in San Juan, Puerto Rico93% average occupancy rate

Sponsored by Paulson Management, LLC

Cherry Creek Mortgage & Bellco Credit Union

Loan 8MS1416 WF1416

Property Name Aspen Hights - Stillwater Market Square at Montrose

Occupancy 98.2% 98.3%

% of pool Balance 3% 2.6%

Asset Type Multifamily Retail

Amortization IO-60 month & Amortization 36 Month IO/360 month Amortization

DSCR 1.06x 1.36x

Memo: Student Housing for OSUNew Development

Strong growth for demand

Below Market LeaseHigh Occupancy

Loan 9MS1416 WF1416

Property Name Thunder Hollow Apartments JL Holdings – Burger King Portfolio

Occupancy 88.7% 100%

% of pool Balance 2.4% 2.3%

Asset Type Multifamily Retail – Single Tenant

Amortization IO-12 month & Amortization 240 month Amortization

DSCR 1.21x 1.41x

Memo: Good market4.125M Mezzanine debt, High LTV

Collateralized by 90 Burger KingsLow LTV

Age of assetsB-note exist in this loan

Loan 10MS1416 WF1416

Property Name Sprague Hotel Portfolio Security Self Storage SPX Portfolio

Occupancy 71.9% 88.9%

% of pool Balance 2.2% 2.3%

Asset Type Hospitality Self Storage

Amortization Full Amortization-240 Month 360 Month Amortization

DSCR 1.25x 1.37x

Memo: Cross CollateralizedExperienced Management –

Holiday InnHigh RevPAR

Full Amortization

High OccupancyWell diversified

High LTV

Key Metrics

Morgan Stanley Wells Fargo64.50%65.00%65.50%66.00%66.50%67.00%67.50%68.00%68.50%69.00%69.50%

69.30%

66.30%

LTV

LTV

Morgan Stanley Wells Fargo1.62

1.64

1.66

1.68

1.7

1.72

1.74

1.76

1.78

1.77x

1.68x

DSCR

DSCR

Call Protection

82%

13%

5%

Wells Fargo

Permits De-feasanceYield Main-tenanceBoth

85%

15%

Morgan Stanley

Interest Only Loans:

Morgan Stanley Wells Fargo

25%9%

40.60%

47.30%

35%44%

Interest Only IO & Amortization Pure Amortization

Morgan Stanley - Cross Collateralization-24% of pool balance is secured by multiple properties

-Arundel Mills loan secured by regional mall and shopping center

-Sprague Hotel Portfolio (3 hotels, 345 guestrooms)

Wells Fargo Cross-Collateralization-9.7% of pool balance are secured by multiple properties

-2.2% are cross collateralized loans

-Burger King portfolio (90 properties)

-Security Self Storage Portfolio (eight properties in CO, KS and TX)