| 4E - Tenant Bankruptcy. The loan is secured by 3 properties consisting of a 70,000 rentable SF, one story office/flex space bldg constructed in 1995 (bldg 1), a one story industrial building containing 52,100 rentable SF bldg constructed in 1996 (Bldg 2), and a one-story industrial bldg containing 21,400 rentable sf constructed in 1996/2002 (bldg 3). All three properties are leased and occupied by Remy International, Inc. on three separate leases for 15 year terms expiring on 11/30/2020. Bldg one serves as Remy International, Inc. corporate headquarters. The property was inspected on 04/02/09; rated in Good condition. The YE 2008 NCF DSCR is 3.32 with an occupancy of 100%. The loan has been placed on the watchlist because Remy Worldwide Holdings, Inc., parent company of subject property tenant, Remy International, Inc. filed voluntary chapter 11 petitions and plan of reorganization to the US Bankrupcty court for the District of Delaware in Wilmington on October 8, 2007. On Nov 20, 2007, the company announced that its pre-packaged plan of reorganization has been confirmed by the US bankruptcy court. Remy has rejected the lease at their headquarters building (the largest of the 3 properties) in bankruptcty court on 12/05/2007. The headquarters building is located at 2902 Enterprise Drive, Anderson, Indiana. Borrower will pursue the rent due by their early termination. As of late Aug 2009, there has been interest in the space but no firm prospects. The property is currently marketed through CBRE. Current asking rates are $8.00 PSF/NNN. Bwr has not received any indication that the leases at the remaining two properties will be rejected. Bank of America will continue to monitor the loan.
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