OREANDA-NEWS. Fitch Ratings has upgraded three and affirmed 13 classes of commercial mortgage pass-through certificates from TIAA Seasoned Commercial Mortgage Trust, series 2007-C4. Fitch has also revised the Rating Outlook on class E to Stable from Negative. A detailed list of rating actions follows at the end of this press release.

KEY RATING DRIVERS
The upgrades are primarily due to an increase in credit enhancement as a result of 45.2% principal paydown since Fitch's last rating action. Fitch modeled losses of 23.2% of the remaining pool; expected losses on the original pool balance total 4.7%, including losses already incurred to date (1.1%). Fitch has identified eight loans (34%) as Fitch loans of concern (LOC), including three specially serviced assets (27.9%).

As of the August 2015 distribution date, the pool's aggregate principal balance has been reduced by 84.4% to \\$326.5 million from \\$2.09 billion at issuance. The transaction has become highly concentrated with only 31 loans remaining in the pool. Currently there are no defeased loans. Interest shortfalls in the amount of \\$5 million are affecting classes K through T.

The largest contributor to expected losses consists of two pari-passu notes that are secured by two phases of a shopping center in Algonquin, IL (25.7% of the pool, collectively). The loans are cross collateralized and cross defaulted. Phase I was built in 2003 and has 418,451 square feet (sf) of rentable space. It is anchored by Dicks Sporting Goods (16% of GLA) with a lease expiring January 2020. Other large tenants include DSW Shoe Warehouse (5.9%) and Charming Charlie (2.5%). Phase II was built in 2005 and contains 146,339 sf. It is anchored by Ross Dress For Less (21.6%) with a lease expiring January 2022. Both loans defaulted in 2009 and were corrected in 2010; however, the loans returned to special servicing in June 2012 and the special servicer-initiated litigation against the borrower is still ongoing. The servicer reported first-quarter 2015 (1Q15) debt service coverage ratio (DSCR) for Phase I and Phase II were 0.61x and 0.68x, respectively. Per the June 2015 rent roll, Phase I was 86.1% occupied, compared to 97% at issuance; Phase II was 100% occupied, compared to 89.8% at issuance.

The second largest contributor to expected losses is a 132,102 sf office property (2.1%) located in Jacksonville, FL. The property became a real estate owned (REO) asset in October 2012 due to foreclosure. As of July 2015, the property was 77.8% occupied, compared to 78.2% at issuance.

RATING SENSITIVITIES
The Stable Outlooks indicate that Fitch does not foresee positive or negative rating migration until a material economic or asset-level event changes the transaction's overall portfolio-level metrics. The distressed classes (rated below 'B') may be subject to further rating actions as losses are realized.

Fitch has upgraded the following classes as indicated:
--\\$10.5 million class B to 'AAAsf' from 'AAsf'; Outlook Stable;
--\\$28.8 million class C to 'Asf' from 'BBBsf'; Outlook Stable;
--\\$18.3 million class D to 'BBBsf' from 'BBsf'; Outlook Stable.

Fitch has affirmed the following classes and revised Outlooks as indicated:
--\\$158.9 million class A-J at 'AAAsf'; Outlook Stable;
--\\$5.2 million class E at 'BBsf'; Outlook to Stable from Negative;
--\\$15.7 million class F at 'CCCsf'; RE 100%.
--\\$20.9 million class G at 'CCCsf'; RE 60%;
--\\$13.1 million class H at 'CCsf'; RE 0%;
--\\$23.5 million class J at 'Csf'; RE 0%;
--\\$7.8 million class K at 'Csf'; RE 0%;
--\\$7.8 million class L at 'Csf'; RE 0%.
--\\$7.9 million class M at 'Csf'; RE 0%;
--\\$2.6 million class N at 'Csf'; RE 0%;
--\\$5.5 million class P at 'Dsf'; RE 0%;
--\\$0 class Q at 'Dsf'; RE 0%;
--\\$0 class S at 'Dsf'; RE 0%.

The class A-1, A-2, A-3 and A-1A certificates have paid in full. Fitch does not rate the class T certificates. Fitch previously withdrew the rating on the interest-only class X certificates.