Experienced management team Ongoing business support from its joint venture (JV) owners Limited scale and concentration in commercial real estate Exposed to volatile commercial mortgage-backed securities (CMBS) market Dependence on repurchase agreement funding facilities The stable outlook on LoanCore Capital Markets LLC (LCM) reflects S&P Global Ratings' expectation that the company may face CMBS market volatility but will remain profitable. We expect the portfolio of floating-rate loans on transitional properties to run off, which will reduce risk but also increase reliance on gains on sale of loans originated for CMBS. We also expect the company to remain in compliance with debt covenants, including maintaining at least $300 million in reported equity. We could lower the ratings over the next six
