OREANDA-NEWS. Fitch Ratings has affirmed six classes of FREMF 2013-K27 multifamily mortgage pass-through certificates and three classes of Freddie Mac structured pass-through certificates, series K-027. A detailed list of rating actions follows at the end of this press release.

KEY RATING DRIVERS

The affirmations are based on the stable performance of the underlying collateral pool. As of the January 2016 distribution date, the pool has had no delinquent or specially serviced loans. The pool's aggregate principal balance has been paid down by 1.37% to $1.62 billion from $1.64 billion at issuance. Fitch has designated one Fitch Loan of Concern.

The Loan of Concern (1.2% of the pool) is secured by a 308 unit apartment community that consists of 10 buildings. The property was built in 1999 and is located in Lawrenceville, GA. In April 2015, the property sustained fire damage to 21 units in building 2. There are currently 15 units off line and the estimated completion date is in April 2016. The loan has been current since issuance.

The largest loan of the pool (12.4% of the pool) is secured by Alta at K Station, an 848-unit, two-tower high rise complex located in Chicago, IL. The towers, one 37 stories and the other 41 stories, were built in 2010. The property is LEED Gold Certified and features amenities including an outdoor pool and spa, fire pit and grilling area, sundeck with cabanas, fitness center, business center, a 22-seat theater, basketball/volleyball court, men's and women's saunas and a party suite with full kitchen. Occupancy was 95% as of June 2015, which is a slight improvement from 93% at issuance.

The second largest loan (4.3% of the pool) is secured by Rollin Street Flats, a 208-unit high-rise apartment complex located in Seattle, WA approximately one mile north of the Seattle CBD. The property was developed by the borrower in 2009 for $111.8 million ($537,464/unit). Occupancy declined to 92% as of September 2015, from 94% at issuance.

The third largest loan (3.8% of the pool) is secured by a 660-unit garden style apartment community located in Parker, CO approximately 24 miles southeast of the Denver CBD. The subject consists of two adjacent apartment communities that are operated as one property. The borrower purchased the subject in 2012 for $82.75 million ($125,379 per unit). Occupancy increased to 98% as of June 2015 compared to 94% at issuance.

RATING SENSITIVITIES

The Rating Outlook for all classes remains Stable. Due to the recent issuance of the transaction and stable performance, Fitch does not foresee positive or negative ratings migration until a material economic or asset-level event changes the transaction's portfolio-level metrics.

DUE DILIGENCE USAGE

No third party due diligence was provided or reviewed in relation to this rating action.

Fitch affirms the following classes:

FREMF 2013-K27 Multifamily Mortgage Pass-Through Certificates
--$210.65 million class A-1 at 'AAAsf'; Outlook Stable;
--$1.15 billion class A-2 at 'AAAsf'; Outlook Stable;
--$1.36 billion* class X1 at 'AAAsf'; Outlook Stable;
--$1.36 billion* class X2-A at 'AAAsf'; Outlook Stable;
--$88.1 million class B at 'A-sf'; Outlook Stable;
--$40.98 million class C at 'BBBsf'; Outlook Stable.

Fitch does not rate classes D, X2-B and X3 certificates.

Freddie Mac Structured Pass-Through Certificates, Series K-027
--$210.65 million class A-1 at 'AAAsf'; Outlook Stable;
--$1.15 billion class A-2 at 'AAAsf'; Outlook Stable;
--$1.36 billion* class X1 at 'AAAsf'; Outlook Stable.

Fitch does not rate class X3.
*Notional amount and interest only.