SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
----------------------
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): December 9, 1996
Midland Realty Acceptance Corp.
(Exact name of registrant as specified in its charter)
Missouri
(State or other jurisdiction of incorporation)
333-3885 43-1745475
(Commission File Number) (IRS Employer Identification No.)
210 West 10th Street, 6th Floor, Kansas City, Missouri 64105
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (816)435-5000
Not applicable
(Former name or former address, if changed since last report)
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL
INFORMATION AND EXHIBITS
Exhibit 99 Underwriter's Statement Relating to Midland Realty Acceptance Corp.,
Commercial Mortgage Pass-Through Certificates, Series 1996-C2,
together with Preliminary Structural Term Sheet and Preliminary
Collateral Term Sheet.
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
MIDLAND REALTY ACCEPTANCE CORP., as Registrant
Date: December 10, 1996 By: /s/ Clarence A. Krantz
Clarence A. Krantz, Executive Vice President
<PAGE>
EXHIBIT INDEX
Exhibit No. Description
99 Underwriter's Statement
Relating to Midland Realty
Acceptance, Commercial Mortgage
Pass-Through Certificates,
Series 1996-C2, together with
Preliminary Structural Term
Sheet and Preliminary
Collateral Term Sheet.
Since the printing of the Red Prospectus Supplement dated 11/26/96, three
Mortgage Loans dropped from the Mortgage Pool: Loan #18, American Financial
Center No. 5 ($7.85 mm); Loan #23, Camelback Plaza ($7.24 mm); and Loan #48:
Woodland Manor Apartments ($3.98 mm). In addition, the Interest Rates on the
following two Mortgage Loans changed: Loan #88, Cedar Square Shopping Center,
should be 8.63%, and Loan #97, Crosby Green Apartments, should be 8.37%.
General Pool Characteristics
===============================================================
Number of Mortgage Loans: 136
Aggregate Cut-Off Date Principal Balance: approx.
$512,102,799
Average Cut-Off Date Principal Balance: $3,765,461.75
Maximum Cut-Off Date Principal Balance: $27,292,186
Minimum Cut-Off Date Principal Balance: $620,000
Weighted Average Gross Coupon: 8.74%
Gross Coupon Range: 7.61%--9.70%
Weighted Average Remaining Term to 120 months
Maturity:
Range of Remaining Terms to Maturity: 60--295 months
Weighted Average Remaining Term of 300 months
Amortization:
Range of Remaining Terms of Amortization: 119--360 months
Weighted Average DSCRs: 1.36x
Range of DSCRs: 1.15--2.72x
Weighted Average Appraised LTV: 69.35%
Range of Appraised LTVs: 32.1%--85.0%
Number of Self Amortizing Mortgage Loans: 5
Self Amortizing Mortgage Loans as a % of 2.5%
Cut-Off Date Principal Balance:
Weighted Average Balloon LTV at Maturity: 57.30%
Range of LTVs at Maturity: 0.00%--76.81%
Largest State Concentration (TX): 17.2%
Largest Affiliated Borrower Concentration: 2.9%
Largest Loan Concentration: 5.3%
$ Amount of Aggregate Cut-Off Balance $307,556,916.03
Originated by Midland
$ Amount of Aggregate Cut-Off Balance $150,228,070.08
Originated by GACC (Deutsche Morgan
Grenfell)
$ Amount of Aggregate Cut-Off Balance $54,317,812.56
Originated by BCMC (Llama Co.)
===============================================================
<TABLE>
<CAPTION>
RANGE OF GROSS COUPONS
Range of WA WA Max. Orig Total
Gross # % Rem WA Curr Balance Current
Coupons Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
7.50%< Gross Coupon <= 7.75% 1 5.33 7.610 110.00 10.00 77.98 $27,497,600 $27,292,185.76
7.75%< Gross Coupon <= 8.00% 1 1.64 7.790 60.00 .0 74.79 $8,395,000 $8,395,000.00
8.00%< Gross Coupon <= 8.25% 4 5.22 8.123 111.52 .00 79.02 $9,800,000 $26,750,000.00
</TABLE>
<PAGE>
[RESTUBBED TABLE FROM ABOVE]
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
<S> <C> <C> <C> <C> <C> <C> <C> <C>
8.25%< Gross Coupon <= 8.50% 15 16.15 8.452 126.07 .27 71.20 $16,890,000 $82,688,858.95
8.50%< Gross Coupon <= 8.75% 24 15.51 8.614 107.37 3.03 63.96 $18,000,000 $79,406,051.83
8.75%< Gross Coupon <= 9.00% 39 29.30 8.876 126.91 2.42 68.44 $10,700,000 $150,059,412.38
9.00%< Gross Coupon <= 9.25% 33 17.97 9.166 124.15 3.13 69.02 $10,046,000 $92,049,535.03
9.25%< Gross Coupon <= 9.50% 12 6.52 9.383 119.29 3.63 67.20 $8,700,000 $33,370,816.39
9.50%< Gross Coupon <= 9.75% 7 2.36 9.596 118.24 3.18 67.09 $3,150,000 $12,090,938.33
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
RANGE OF ORIGINAL AND CUT-OFF DATE PRINCIPAL BALANCES
RANGE OF ORIGINAL AND CUT-OFF DATE PRINCIPAL BALANCES
Range of WA WA Max. Orig Total
Original and Cut-Off # % Rem WA Curr Balance Current
Date Balances Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
600,000< Balance<= 750,000 4 .54 8.952 115.45 4.55 53.17 $750,000 $2,759,881.79
750,000< Balance<= 1,000,000 15 2.69 9.041 120.44 3.21 59.62 $1,000,000 $13,759,211.34
1,000,000< Balance<= 2,000,000 42 12.16 8.977 131.77 2.35 66.94 $2,000,000 $62,269,338.62
2,000,000< Balance<= 3,000,000 18 8.69 8.925 123.90 1.90 69.82 $2,888,000 $44,521,926.83
3,000,000< Balance<= 4,000,000 12 7.70 8.866 137.39 1.04 65.76 $3,700,000 $39,434,555.07
4,000,000< Balance<= 5,000,000 14 12.55 8.830 111.12 3.17 71.64 $5,000,000 $64,279,132.95
5,000,000< Balance<= 6,000,000 6 6.27 8.853 125.98 1.66 66.34 $5,650,000 $32,130,499.39
6,000,000< Balance<= 7,000,000 3 3.78 8.736 106.56 1.71 73.65 $7,000,000 $19,342,183.56
7,000,000< Balance<= 8,000,000 7 10.39 8.949 132.39 2.62 67.86 $8,000,000 $53,191,835.52
8,000,000< Balance<= 9,000,000 4 6.73 8.602 116.01 1.51 68.68 $8,916,000 $34,467,251.16
9,000,000< Balance<=10,000,000 2 3.67 8.425 148.25 .48 82.20 $9,800,000 $18,804,859.25
10,000,000< Balance<=11,000,000 4 8.05 8.832 107.27 3.48 69.67 $10,700,000 $41,234,628.21
11,000,000< Balance<=12,000,000 1 2.28 8.440 120.00 .00 72.12 $11,700,000 $11,700,000.00
12,000,000< Balance<=13,000,000 1 2.41 8.540 75.00 9.00 72.16 $12,450,000 $12,339,021.33
16,000,000< Balance<=17,000,000 1 3.30 8.470 120.00 .00 75.74 $16,890,000 $16,890,000.00
Balance> 17,000,000 2 8.78 7.995 96.63 6.07 69.05 $27,497,600 $44,978,473.65
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
RANGE OF REMAINING TERMS TO MATURITY
Remaining WA WA Max. Orig Total
Terms to # % Rem WA Curr Balance Current
Maturity Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
48< Rem Term<= 60 2 2.51 8.030 60.00 .00 73.98 $8,395,000 $12,870,000.00
60< Rem Term<= 72 2 2.28 8.857 70.88 12.24 61.08 $10,500,000 $11,681,039.79
72< Rem Term<= 84 8 10.05 8.634 78.80 2.45 65.77 $18,000,000 $51,451,843.63
84< Rem Term<= 96 1 .38 8.730 96.00 .00 67.78 $1,925,000 $1,925,000.00
96< Rem Term<= 108 3 3.28 8.977 106.86 12.86 53.99 $8,000,000 $16,813,569.10
108< Rem Term<= 120 84 59.71 8.716 117.51 2.45 71.74 $27,497,600 $305,752,172.68
120< Rem Term<= 132 1 .62 9.160 132.00 .00 69.57 $3,200,000 $3,200,000.00
132< Rem Term<= 144 21 13.72 8.929 143.16 .84 63.76 $8,916,000 $70,260,982.13
156< Rem Term<= 168 1 .36 9.150 166.00 2.00 76.90 $1,839,000 $1,837,844.63
168< Rem Term<= 180 11 6.12 8.862 178.01 .99 74.63 $9,010,000 $31,354,892.83
228< Rem Term<= 240 1 .25 9.220 238.00 2.00 84.91 $1,275,000 $1,273,664.59
288< Rem Term<= 300 1 .72 8.490 295.00 5.00 54.30 $3,700,000 $3,681,789.29
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
ORIGINATOR
WA WA Max. Orig Total
# % Rem WA Curr Loan Current
Originator Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
BCMC 17 10.61 8.975 144.67 2.90 71.85 $9,010,000 $54,317,812.56
GACC 21 29.34 8.603 101.65 5.09 70.09 $27,497,600 $150,228,070.08
MCF 98 60.06 8.773 124.18 1.38 68.54 $11,700,000 $307,556,916.03
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
RANGE OF REMAINING AMORTIZATION TERMS
Remaining WA WA Max. Orig Total
Amortization # % Rem WA Curr Balance Current
Terms Loan Pool WAC Amort Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
108< Rem Term <= 120 1 .39 8.820 120.00 1.00 44.41 $2,000,000 $1,989,559.26
168< Rem Term <= 180 5 5.16 8.729 178.14 .33 59.15 $18,000,000 $26,437,908.49
192< Rem Term <= 204 1 .49 9.440 204.00 3.00 56.15 $2,525,000 $2,509,778.41
228< Rem Term <= 240 21 10.53 8.891 240.00 5.73 59.93 $10,500,000 $53,923,198.35
252< Rem Term <= 264 1 .21 8.920 264.00 .00 74.83 $1,100,000 $1,100,000.00
264< Rem Term <= 276 1 2.09 8.890 276.00 .00 71.33 $10,700,000 $10,700,000.00
288< Rem Term <= 300 83 52.52 8.883 300.00 2.32 68.42 $12,450,000 $268,955,189.30
348< Rem Term <= 360 23 28.61 8.414 360.00 2.71 76.74 $27,497,600 $146,487,164.86
Total..... 136 100.00% 8.744 302.81 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
GEOGRAPHIC DISTRIBUTION
WA WA Min. Curr Max. Curr Total Average
# % Rem WA MIN MAX Curr Loan Loan Current Current
State Loans Pool WAC Term Age AGE AGE LTV Amount Amount Balance Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
AZ 7 3.08 8.963 134.32 1.03 .00 3.00 70.38 $620,000 $6,061,466 $15,767,835 $2,252,548
CA 15 15.25 8.866 127.72 2.06 .00 12.00 69.90 $1,248,638 $11,700,000 $78,087,248 $5,205,817
CO 5 7.04 7.949 114.54 7.74 .00 10.00 74.47 $950,000 $27,292,186 $36,075,607 $7,215,121
CT 3 2.30 8.831 118.46 1.54 .00 3.00 77.72 $2,241,407 $5,000,000 $11,789,335 $3,929,778
FL 14 9.94 8.764 128.66 3.65 .00 14.00 71.04 $978,437 $12,339,021 $50,881,050 $3,634,361
GA 3 1.13 8.793 132.64 2.57 .00 7.00 66.39 $1,250,000 $2,400,000 $5,761,251 $1,920,417
MA 4 4.03 8.905 127.99 1.62 .00 4.00 62.91 $1,600,000 $8,916,000 $20,636,346 $5,159,086
MD 6 5.32 9.039 125.77 1.90 .00 4.00 70.54 $2,100,000 $7,708,582 $27,265,744 $4,544,291
MI 9 6.07 9.164 121.43 4.36 .00 10.00 67.76 $674,768 $8,656,251 $31,062,911 $3,451,435
MN 7 1.95 8.884 112.91 3.71 .00 10.00 61.45 $835,695 $2,792,514 $9,967,329 $1,423,904
MO 2 3.63 8.517 119.54 .46 .00 5.00 75.29 $1,698,450 $16,890,000 $18,588,450 $9,294,225
MT 2 .44 8.965 212.49 1.12 .00 2.00 64.52 $1,000,000 $1,273,665 $2,273,665 $1,136,832
NJ 4 2.79 8.825 89.54 9.65 .00 12.00 61.86 $1,294,871 $10,299,239 $14,290,446 $3,572,612
NM 2 1.15 8.651 94.31 .36 .00 2.00 65.91 $1,048,226 $4,850,000 $5,898,226 $2,949,113
NV 2 2.29 8.243 120.00 .00 .00 .00 77.24 $1,950,000 $9,800,000 $11,750,000 $5,875,000
NY 5 5.40 8.867 118.01 .11 .00 3.00 71.11 $1,057,272 $10,700,000 $27,657,272 $5,531,454
OK 4 1.62 8.711 130.35 2.32 .00 4.00 74.36 $812,787 $4,636,807 $8,277,753 $2,069,438
OR 1 .21 8.850 179.00 1.00 1.00 1.00 52.10 $1,099,380 $1,099,380 $1,099,380 $1,099,380
PA 3 4.01 8.702 81.74 .51 .00 6.00 57.93 $1,100,000 $17,686,288 $20,531,536 $6,843,845
TX 31 17.16 8.729 120.58 1.57 .00 12.00 68.02 $750,000 $10,200,000 $87,890,568 $2,835,180
UT 1 .56 9.180 142.00 2.00 2.00 2.00 84.60 $2,884,950 $2,884,950 $2,884,950 $2,884,950
VA 4 2.36 8.908 112.88 6.85 .00 15.00 63.66 $1,540,053 $4,808,738 $12,098,791 $3,024,698
WA 2 2.26 8.086 76.18 .27 .00 1.00 74.18 $3,172,106 $8,395,000 $11,567,106 $5,783,553
Total.. 136 100.00% 8.744 119.74 2.63 .00 15.00 69.35 $620,000 $27,292,186 $512,102,799 $3,765,462
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
RANGE OF ORIGINAL APPRAISAL BALANCES
Original WA WA Max. Orig Total
Appraisal # % Rem WA Curr Balance Current
Balances Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
500,000 <Balance <= 600,000 1 .16 9.220 116.00 4.00 71.93 $815,625 $812,787.42
750,000 <Balance <=1,000,000 1 .21 9.280 177.00 3.00 66.50 $1,060,000 $1,057,272.21
1,000,000 <Balance <=2,000,000 28 5.88 8.973 132.37 2.42 67.92 $2,400,000 $30,087,707.53
2,000,000 <Balance <=3,000,000 34 10.50 8.983 128.95 2.39 65.62 $2,245,000 $53,770,441.81
3,000,000 <Balance <=4,000,000 12 5.91 8.868 120.24 2.05 71.24 $2,888,000 $30,290,298.44
4,000,000 <Balance <=5,000,000 12 7.10 8.961 118.39 1.11 66.36 $3,440,000 $36,378,616.95
5,000,000 <Balance <=6,000,000 3 2.59 8.741 117.62 2.38 77.37 $4,645,000 $13,282,199.96
6,000,000 <Balance <=7,000,000 13 11.09 8.819 127.63 2.18 68.98 $5,100,000 $56,783,068.28
7,000,000 <Balance <=8,000,000 6 6.31 8.741 107.72 3.57 71.92 $6,300,000 $32,321,517.20
8,000,000 <Balance <=9,000,000 2 2.28 8.853 118.96 1.04 70.50 $6,072,000 $11,686,465.94
9,000,000 <Balance <=10,000,000 2 2.96 9.046 147.00 2.52 78.44 $7,725,000 $15,177,414.56
10,000,000 <Balance <=11,000,000 5 7.55 8.863 137.44 .96 73.84 $9,010,000 $38,649,813.70
11,000,000 <Balance <=12,000,000 3 4.76 8.355 115.09 .00 69.63 $8,500,000 $24,395,000.00
12,000,000 <Balance <=13,000,000 2 3.60 8.747 117.19 2.81 75.58 $9,800,000 $18,456,251.16
13,000,000 <Balance <=14,000,000 1 1.96 9.180 118.00 2.00 74.89 $10,046,000 $10,035,389.63
14,000,000 <Balance <=15,000,000 3 5.07 8.768 124.47 .19 64.53 $10,700,000 $25,945,636.19
15,000,000 <Balance <=16,000,000 1 1.74 8.650 144.00 .00 58.66 $8,916,000 $8,916,000.00
16,000,000 <Balance <=17,000,000 1 2.28 8.440 120.00 .00 72.12 $11,700,000 $11,700,000.00
>17,000,000 6 18.03 8.333 96.12 6.52 67.31 $27,497,600 $92,356,917.69
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
CURRENT LTV
Range WA WA Max. Orig Total
of Current # % Rem WA Curr Balance Current
LTVs Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
30.000< LTV<= 35.000 2 1.12 9.201 139.34 1.83 34.07 $5,050,000 $5,720,404.28
35.000< LTV<= 40.000 2 .39 8.840 148.54 1.50 39.22 $1,000,000 $1,997,321.82
40.000< LTV<= 45.000 4 2.27 8.967 108.68 8.42 41.74 $8,000,000 $11,622,290.29
50.000< LTV<= 55.000 3 1.57 8.612 208.30 2.43 53.59 $3,700,000 $8,031,169.40
55.000< LTV<= 60.000 17 9.64 8.817 110.13 2.04 56.68 $18,000,000 $49,378,273.82
60.000< LTV<= 65.000 14 8.17 8.960 114.09 5.44 62.69 $10,500,000 $41,833,774.89
65.000< LTV<= 70.000 32 17.17 8.928 121.51 2.06 67.55 $7,125,000 $87,951,694.35
70.000< LTV<= 75.000 45 36.55 8.758 114.87 1.71 72.78 $12,450,000 $187,160,212.76
75.000< LTV<= 80.000 13 19.32 8.399 121.68 3.74 77.82 $27,497,600 $98,944,183.46
80.000 < LTV<= 85.000 4 3.80 8.669 146.63 .89 84.23 $9,010,000 $19,463,473.60
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
STABILIZED OCCUPANCY PERCENTAGE RANGE
% WA WA Max. Orig Total
Stabilized # % Rem WA % Loan Current
Occupancy Loan Pool WAC Term Age Occup. Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
% OCC = 0.000 12 19.82 8.528 106.38 4.74 .00 $27,497,600 $101,520,946.29
70.000< % OCC <= 75.000 1 1.53 9.000 108.00 12.00 75.00 $8,000,000 $7,850,184.13
75.000< % OCC <= 80.000 3 1.84 8.924 126.46 2.81 79.60 $7,125,000 $9,431,038.04
80.000< % OCC <= 85.000 6 3.76 8.933 118.63 1.37 84.74 $7,850,000 $19,250,962.28
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
[RESTUBBED TABLE FROM ABOVE]
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
<S> <C> <C> <C> <C> <C> <C> <C> <C>
85.000< % OCC <= 90.000 25 10.50 8.867 132.11 1.70 89.41 $9,010,000 $53,764,343.57
90.000< % OCC <= 95.000 78 50.44 8.734 122.66 2.15 93.64 $12,450,000 $258,280,966.71
95.000< % OCC <= 100.000 11 12.11 8.916 119.57 1.16 98.82 $11,700,000 $62,004,357.65
Total.....136 100.00% 8.744 119.74 2.63 74.38 $27,497,600 $512,102,798.67
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Collateral Term Sheet
<TABLE>
<CAPTION>
BALLOON LTV RANGE
Range WA Max. Orig Total
of Balloon # % Balloon Loan Current
LTVs Loan Pool LTV Amount Balance
<S> <C> <C> <C> <C> <C>
15.000< LTV <= 20.000 1 .27 18.58 $1,350,000 $1,343,160.14
20.000< LTV <= 25.000 1 .14 23.28 $682,878 $674,768.09
25.000< LTV <= 30.000 2 2.58 28.42 $8,000,000 $12,895,820.32
30.000< LTV <= 35.000 5 1.26 32.97 $2,525,000 $6,289,647.13
35.000< LTV <= 40.000 3 1.87 38.19 $7,500,000 $9,331,453.39
40.000< LTV <= 45.000 17 10.93 42.46 $18,000,000 $54,520,349.79
45.000< LTV <= 50.000 10 3.82 47.50 $3,100,000 $19,080,318.34
50.000< LTV <= 55.000 17 10.99 52.84 $10,500,000 $54,824,475.90
55.000< LTV <= 60.000 28 21.43 57.91 $11,700,000 $106,941,046.69
60.000< LTV <= 65.000 31 20.39 61.90 $12,450,000 $101,762,499.94
65.000< LTV <= 70.000 9 17.34 67.13 $27,497,600 $86,537,027.11
70.000< LTV <= 75.000 6 7.72 70.60 $9,800,000 $38,522,422.82
75.000< LTV <= 80.000 1 1.26 76.81 $6,300,000 $6,300,000.00
Total..... 131 100.00% 57.30 $27,497,600 $499,022,989.66
</TABLE>
<TABLE>
<CAPTION>
PROPERTY TYPE
WA WA Max. Orig Total
# % Rem WA Curr Loan Current
Loan Feature Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Congregate Care 1 .87 8.480 60.00 .00 72.47 $4,475,000 $4,475,000.00
Factory Outlet 3 3.24 8.760 132.72 .16 63.93 $8,916,000 $16,613,612.50
Hotel 1 1.53 9.000 108.00 12.00 40.89 $8,000,000 $7,850,184.13
Industrial 1 .62 8.850 84.00 .00 67.37 $3,200,000 $3,200,000.00
Industrial/Warehouse 8 4.33 9.008 91.42 6.13 62.47 $10,500,000 $22,194,151.16
Mini-Warehouse 1 .24 9.180 144.00 .00 66.88 $1,250,000 $1,250,000.00
Mixed Use 1 3.30 8.470 120.00 .00 75.74 $16,890,000 $16,890,000.00
Mobile Home Park 2 .57 8.852 119.32 .68 51.99 $2,000,000 $2,939,559.26
Multifamily 58 38.74 8.529 128.63 2.79 74.24 $27,497,600 $198,372,499.00
Office 16 11.78 9.081 124.56 1.29 65.49 $10,046,000 $60,343,446.97
Office/R & D 2 2.90 8.675 118.10 .85 71.37 $11,700,000 $14,839,627.96
Office/Retail 3 3.10 8.631 82.09 7.00 70.68 $12,450,000 $15,864,021.33
Office/Warehouse 3 .86 8.946 125.21 .47 71.21 $2,625,000 $4,423,226.48
Retail-Anchored 9 10.23 8.622 107.66 .43 65.90 $18,000,000 $52,394,339.53
Retail-Single Tenant 14 9.52 9.017 122.56 3.05 65.53 $10,700,000 $48,764,394.13
Retail-Unanchored 13 8.14 9.081 117.18 4.44 68.72 $6,072,000 $41,688,736.22
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
OWNERSHIP INTEREST
WA WA Max. Orig Total
# % Rem WA Curr Loan Current
Loan Feature Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Fee 135 96.70 8.754 119.74 2.72 69.13 $27,497,600 $495,212,798.67
Leasehold 1 3.30 8.470 120.00 .00 75.74 $16,890,000 $16,890,000.00
Total..... 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Collateral Term Sheet
<TABLE>
<CAPTION>
TOTAL PREPAYMENT LOCKOUT/ YIELD MAINTENANCE / PENALTY PERIODS
WA WA Max. Orig Total
# % Penalty WA Curr Loan Current
Remaining Term Loan Pool WAC Terms Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
48< Rem Term <= 60 2 2.51 8.030 55.96 .00 73.98 $8,395,000 $12,870,000.00
60< Rem Term <= 72 2 4.40 8.571 70.43 .00 57.48 $18,000,000 $22,536,287.89
72< Rem Term <= 84 9 8.27 8.728 78.00 6.35 68.97 $12,450,000 $42,356,595.53
84< Rem Term <= 96 4 2.10 8.569 94.93 .00 68.89 $5,625,000 $10,750,000.00
96< Rem Term <= 108 48 30.71 8.766 108.00 .92 71.46 $11,700,000 $157,279,325.08
108< Rem Term <= 120 37 31.05 8.715 115.12 5.15 70.30 $27,497,600 $159,001,416.70
120< Rem Term <= 132 21 14.62 8.917 132.00 .81 64.43 $8,916,000 $74,844,864.59
132< Rem Term <= 144 1 .56 9.180 138.00 2.00 84.60 $2,888,000 $2,884,949.76
144< Rem Term <= 156 1 .20 9.010 156.00 2.00 67.64 $1,030,000 $1,028,158.72
156< Rem Term <= 168 7 1.97 8.882 166.91 1.14 65.89 $2,190,000 $10,078,763.65
168< Rem Term <= 180 2 2.64 8.850 173.67 1.00 79.77 $9,010,000 $13,516,982.87
228< Rem Term <= 240 1 .25 9.220 234.00 2.00 84.91 $1,275,000 $1,273,664.59
288< Rem Term <= 300 1 .72 8.490 294.00 5.00 54.30 $3,700,000 $3,681,789.29
Total..... 136 100.00% 8.744 112.81 2.63 69.35 $27,497,600 $512,102,798.67
</TABLE>
<TABLE>
<CAPTION>
RANGE OF DEBT SERVICE COVERAGE RATIOS
WA WA Max. Orig Total
DSCR # % Rem WA Curr Balance Current
Loan Pool WAC Term Age LTV Amount Balance<F1>
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1.15- 1.19 2 0.92 9.168 151.34 2.00 81.60 2,888,000 4,722,795
1.20- 1.24 9 6.44 8.913 153.27 2.03 77.39 9,010,000 32,990,359
1.25- 1.29 26 19.86 8.893 113.36 2.49 72.11 16,890,000 101,700,910
1.30- 1.34 31 22.35 8.779 122.15 1.60 69.04 10,700,000 114,452,759
1.35- 1.39 33 29.98 8.577 114.99 3.54 71.48 27,497,600 153,504,161
1.40- 1.44 11 8.91 8.656 107.63 1.90 63.33 18,000,000 45,651,432
1.45- 1.49 6 3.97 8.760 123.80 0.23 65.47 7,700,000 20,315,474
1.50- 1.54 4 1.69 9.037 133.34 0.68 61.00 3,100,000 8,636,176
1.55- 1.59 8 2.23 8.612 88.24 5.25 62.23 4,475,000 11,401,409
1.60- 1.64 4 1.99 8.667 184.32 3.37 55.54 3,700,000 10,202,374
2.45- 2.49 1 1.53 9.000 108.00 12.00 40.89 8,000,000 7,850,184
2.70- 2.74 1 0.13 9.280 112.00 8.00 32.13 682,878 674,768
Total..... 1.36 136 100.00% 8.744 119.74 2.63 69.35 $27,497,600 $512,102,798.67
<FN>
<F1>Total may differ due to rounding
</FN>
</TABLE>
<TABLE>
<CAPTION>
PROPERTY AGE
WA WA WA Max. Orig Total
# % Rem Prop Curr Loan Current
Years Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
0< Age <= 12 58 45.02 8.785 124.14 6.60 70.97 $11,700,000 $230,554,757.39
12< Age <= 24 46 30.05 8.594 115.69 19.52 68.17 $27,497,600 $153,893,351.12
24< Age <= 36 24 19.37 8.787 118.39 29.43 67.94 $18,000,000 $99,177,978.00
36< Age <= 48 3 2.11 9.274 107.08 41.84 66.58 $4,630,000 $10,784,677.76
48< Age <= 60 1 2.01 8.830 71.00 51.00 60.23 $10,500,000 $10,299,238.58
60< Age <= 72 1 .27 9.060 179.00 67.00 63.47 $1,400,000 $1,396,336.84
72< Age <= 84 1 .36 9.150 166.00 74.00 76.90 $1,839,000 $1,837,844.63
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
[RESTUBBED TABLE FROM ABOVE]
<TABLE>
<CAPTION>
Preliminary Computational Materials
Collateral Term Sheet
<S> <C> <C> <C> <C> <C> <C> <C> <C>
84< Age <= 96 2 .81 9.192 171.40 86.00 84.70 $2,888,000 $4,158,614.35
Total..... 136 100.00% 8.744 119.74 17.59 69.35 $27,497,600 $512,102,798.67
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
<TABLE>
<CAPTION>
YEAR OF PROPERTY BUILT
WA WA Max. Orig Total
Year # % Rem WA Curr Loan Current
Built Loan Pool WAC Term Age LTV Amount Balance
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1910 2 .81 9.192 171.40 2.00 84.70 $2,888,000 $4,158,614.35
1922 1 .36 9.150 166.00 2.00 76.90 $1,839,000 $1,837,844.63
1929 1 .27 9.060 179.00 1.00 63.47 $1,400,000 $1,396,336.84
1945 1 2.01 8.830 71.00 12.00 60.23 $10,500,000 $10,299,238.58
1950 1 .90 9.200 117.00 3.00 66.93 $4,630,000 $4,617,925.32
1953 1 .35 9.325 141.00 3.00 65.57 $1,775,000 $1,770,466.42
1959 1 .86 9.330 83.00 1.00 66.61 $4,400,000 $4,396,286.02
1960 1 .18 8.680 84.00 .00 40.65 $935,000 $935,000.00
1961 4 1.30 9.024 116.59 .86 62.31 $3,200,000 $6,640,481.96
1963 2 2.37 8.629 133.51 .59 72.04 $7,125,000 $12,114,236.83
1965 2 3.63 8.518 119.82 .18 75.23 $16,890,000 $18,609,808.52
1966 1 .32 9.260 115.00 5.00 63.19 $1,650,000 $1,642,844.47
1967 2 3.79 8.624 79.42 .44 56.63 $18,000,000 $19,384,737.80
1968 2 1.62 8.998 118.54 1.46 73.04 $6,072,000 $8,311,465.94
1969 5 2.69 9.087 115.64 4.36 69.37 $7,725,000 $13,772,833.19
1970 4 3.17 8.929 157.10 3.67 70.52 $5,550,000 $16,255,569.29
1971 1 .30 8.520 120.00 .00 68.68 $1,511,000 $1,511,000.00
1972 6 6.75 8.712 108.21 6.38 60.74 $12,450,000 $34,566,153.86
1973 6 2.64 8.558 106.85 2.39 75.83 $6,300,000 $13,495,132.67
1974 4 6.58 7.895 111.33 8.67 75.97 $27,497,600 $33,709,150.05
1975 3 1.00 9.199 125.90 3.24 68.14 $2,360,000 $5,111,166.66
1976 1 .27 9.190 141.00 3.00 67.63 $1,390,000 $1,386,368.95
1977 2 1.09 8.812 117.17 2.83 78.36 $4,645,000 $5,579,241.44
1978 2 .58 8.898 118.58 1.42 69.48 $1,900,000 $2,946,179.97
1979 2 1.44 8.516 120.00 .00 67.75 $5,625,000 $7,385,000.00
1980 3 .71 9.011 137.91 .82 68.56 $1,850,000 $3,645,758.04
1981 6 3.03 8.920 133.39 2.01 71.09 $4,650,000 $15,529,421.59
1982 6 2.96 8.977 124.17 .77 53.05 $5,050,000 $15,161,244.62
1983 5 3.00 8.727 109.49 .96 69.21 $4,850,000 $15,378,533.27
1984 5 3.73 8.423 122.64 .59 74.08 $5,650,000 $19,112,707.33
1985 5 4.18 8.350 128.80 .72 73.16 $9,800,000 $21,423,759.61
1986 8 6.15 8.665 116.99 2.50 71.42 $8,395,000 $31,487,753.46
1987 2 3.26 8.548 120.00 .00 71.92 $11,700,000 $16,700,000.00
1988 8 4.86 9.074 122.98 1.05 71.35 $7,850,000 $24,866,781.17
1989 2 1.07 9.078 119.18 .82 62.03 $3,250,000 $5,491,406.62
1990 5 1.89 8.614 98.75 2.01 69.91 $4,475,000 $9,654,272.89
1991 4 3.47 9.081 114.07 4.77 69.36 $7,700,000 $17,748,365.91
1992 3 4.21 8.796 118.46 1.54 72.75 $10,200,000 $21,544,433.23
1993 3 3.70 9.101 145.28 3.21 78.04 $9,010,000 $18,961,110.41
1994 6 4.16 8.927 133.95 .65 67.47 $10,700,000 $21,313,325.07
1995 7 4.34 8.888 133.85 1.25 64.03 $7,500,000 $22,250,841.69
Total..... 136 100.00% 8.744 119.74 2.6369.35 $27,497,600 $512,102,798.67
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Collateral Term Sheet
<TABLE>
<CAPTION>
PREPAYMENT LOCKOUT/PREMIUM ANALYSIS <F1>
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Months Since Cutoff:
0 12 24 36 48 60 72 84 96 108 120 132 144 156 168 180
% IN STATUS:
Lock Out:
27.8% 27.9% 27.2% 25.4% 21.6% 10.6% 3.8% 2.9% 3.0% 3.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Maximum of Yield Maintenance and:
5.00% 33.1% 33.1% 33.0% 33.0% 33.0% 31.5% 31.4% 34.7% 26.9% 10.1% 20.3% 2.0% 4.3% 2.7% 0.8% 0.0%
3.00% 7.4% 7.4% 7.4% 7.4% 7.4% 7.6% 6.0% 6.7% 5.1% 2.0% 7.9% 0.0% 0.0% 0.0% 0.0% 0.0%
2.00% 4.9% 4.9% 5.0% 5.0% 5.0% 6.6% 6.8% 7.5% 7.5% 3.7% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
1.00% 23.4% 23.3% 24.0% 25.5% 23.0% 26.8% 31.4% 30.7% 30.5% 18.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
0.00% 2.5% 2.5% 2.5% 2.5% 2.5% 7.9% 8.8% 9.8% 9.9% 9.7% 27.0% 28.3% 47.9% 49.2% 47.7%100.0%
-----------------------------------------------------------------------------------------------------------------------------------
Total in Yield Maintenance:
71.2% 71.1% 71.8% 73.3% 70.9% 80.5% 84.3% 89.3% 79.9% 43.7% 55.2% 30.3% 52.2% 51.9% 48.5%100.0%
Sum Of Yield Maintenance/Lockout:
99.0% 99.0% 99.0% 98.7% 92.5% 91.1% 88.1% 92.3% 82.9% 46.8% 55.2% 30.3% 52.2% 51.9% 48.5%100.0%
Prepayment Penalty:
5.00% 0.0% 0.0% 0.0% 0.0% 0.0% 0.5% 0.2% 0.0% 7.5% 17.7% 16.7% 18.4% 0.0% 0.0% 0.0% 0.0%
4.00% 0.0% 0.0% 0.0% 0.0% 0.0% 0.9% 0.4% 0.0% 0.0% 0.2% 18.2% 1.8% 0.0% 0.0% 0.0% 0.0%
3.00% 0.0% 0.0% 0.0% 0.3% 6.2% 0.0% 3.0% 2.8% 1.6% 2.2% 1.0% 13.3% 4.8% 0.0% 0.0% 0.0%
2.00% 1.0% 1.0% 1.0% 1.0% 1.3% 7.3% 1.6% 4.9% 3.6% 5.6% 4.9% 1.0% 14.1% 4.5% 0.0% 0.0%
1.00% 0.0% 0.0% 0.0% 0.0% 0.0% 0.3% 1.3% 0.0% 4.4% 1.8% 0.0% 0.0% 2.9% 13.9% 4.3% 0.0%
-----------------------------------------------------------------------------------------------------------------------------------
Total With Prepayment Penalty:
1.0% 1.0% 1.0% 1.3% 7.5% 8.9% 6.4% 7.7% 17.1% 27.5% 40.8% 34.4% 21.8% 18.3% 4.3% 0.0%
No Prepayment (Or Missing):
0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 5.5% 0.0% 0.0% 25.7% 4.0% 35.3% 26.1% 29.7% 47.2% 0.0%
Total:
100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%100.0%
Pool Factor:
100.0% 98.7% 97.3% 95.7% 94.1% 89.9% 86.0% 75.7% 73.4% 68.8% 17.1% 15.9% 5.4% 5.1% 4.4% 0.7%
<FN>
<F1> This table sets forth an analysis of the percentage of the
declining balance of the Mortgage Pool that, on December 1, in each of the
years indicated, will be within a Lockout Period or in which Principal
Prepayments must be accompanied by the indicated Prepayment Premium or yield
maintenance charge. See "DESCRIPTION OF THE MORTGAGE POOL--Certain Terms and
Conditions of the Mortgage Loans--Prepayment Provisions" for the assumptions
used in preparing this table.
</FN>
</TABLE>
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Collateral Term Sheet ("Collateral Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Collateral
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Collateral
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. Prior to making any investment decision, a
prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Preliminary Structural Term Sheet
<TABLE>
<CAPTION>
Structure of the Offered Certificates
<S> <C> <C> <C> <C> <C> <C> <C> <C>
====================================================================================================================================
Cert. Approx. Rating Type Cert. Initial Avg. Life: Area of Princ. Window %
Class $ Class Size Fitch / Coupon to Call / to Spread (years) to Call / Credit
Moody's Maturity (bps) to Maturity Support
A-1 $143,492,076 AAA / Aaa2 P&I FIXED 5.505 / 50 - 55 0.097 - 8.681 30.5
5.505 / 0.097 - 8.681 %
- ----------------------------------------------------------------------------------------------------------------------------
A-2 $212,419,370 AAA / Aaa2 P&I FIXED 9.679 / 70 - 75 8.681 - 10.097 30.5
9.679 / 8.681 - 10.097 %
- ----------------------------------------------------------------------------------------------------------------------------
B $30,726,168 AA / Aa2 P&I FIXED 10.097 / 80 - 85 10.097 - 10.097 24.5
10.097 / 10.097 - 10.097 %
- ----------------------------------------------------------------------------------------------------------------------------
C $28,165,654 A / A2 P&I FIXED 10.097 / 90 - 95 10.097 - 10.097 19.0
10.097 / 10.097 - 10.097 %
- ----------------------------------------------------------------------------------------------------------------------------
D $23,044,626 BBB / Baa2 P&I FIXED 10.726 / 110 - 115 10.097 - 11.514 14.5
10.781 / 10.097 - 11.764 %
- ----------------------------------------------------------------------------------------------------------------------------
E $7,681,542 BBB- / NR P&I FIXED 11.514 / 140 - 150 11.514 - 11.514 13.0
11.817 / 11.764 - 11.847
====================================================================================================================================
</TABLE>
Classes A-EC, F, G, H, J, K-1 and K-2, with an aggregate Certificate
balance of approximately $66.6 million will be
privately placed.
Underwriters: Prudential Securities Incorporated ("PSI")
Deutsche Morgan Grenfell, Inc. ("DMG")
Llama Company, L.P. ("Llama")
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Structural Term Sheet ("Structural Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Structural
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Structural
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. PSI, DMG, Llama, Midland Loan Services, L.P., or
their affiliates may in the future have a position in the securities discussed
herein and may purchase or sell the same on a principal basis or as agent for
another person. In addition, PSI and certain of its affiliates may be providing
currently investment banking and other services to the issuer of such securities
and the borrowers and their affiliates. Prior to making any investment decision,
a prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Preliminary Structural Term Sheet
PRELIMINARY TERM SHEET
Approximate Deal Size: $512.1 million, 136 mortgage loans.
Depositor: Midland Realty Acceptance Corporation
("MRAC"), a Missouri corporation and wholly owned
subsidiary of Midland Loan Services, L.P.,
a Missouri limited partnership.
Rating Agencies: Moody's Investors Service, Inc. ("Moody's")
Fitch Investors Service, Inc. ("Fitch")
Publicly Offered Securities: Class A-1 AAA / Aaa
Class A-2 AAA / Aaa
Class B AA / Aa2
Class C A / A2
Class D BBB / Baa2
Class E BBB- / NR
Underwriters: Prudential Securities Incorporated ("PSI")
Deutsche Morgan Grenfell, Inc. ("DMG")
Llama Company, L.P. ("Llama")
Mortgage Loan Sellers: Midland Commercial Financing Corp.
German American Capital Corporation, an
affiliate of Deutsche Morgan Grenfell, Inc.
Boston Capital Mortgage Company, a limited
partnership and an affiliate of Llama
Master Servicer: Midland Loan Services, L.P., a Missouri
limited partnership.
Special Servicer: Midland Loan Services, L.P., a Missouri
limited partnership.
Trustee: LaSalle National Bank, a nationally chartered
bank with its principal offices in Chicago,
Illinois.
Fiscal Agent: ABN Amro Bank, N.V., a Netherlands banking
corporation and parent of the Trustee. The
Fiscal Agent will be obligated to make any
principal and interest advances required to be
made in the event that the Master Servicer and the
Trustee default in the performance of their
obligations to make such advances.
Cut-Off Date: On or about December 1, 1996
Closing Date: On or about December 23, 1996
The Mortgage Pool: The Mortgage Pool will consist of 136 whole
mortgage loans (the "Mortgage Loans") with an
original principal balance of approximately $512.1
million. The estimated cut-off date balances of
the Mortgage Loans range from approximately
$620,000, to approximately $27.3 million, and the
average principal balance of the Mortgage
Loans is approximately $3.8 million. In the
Mortgage Pool, 131 of the Mortgage Loans,
representing approximately 97.4% of the original
principal balance, are balloons, and the
remaining five Mortgage Loans, representing
approximately 2.6% of the original principal
balance, fully amortize. The weighted average
Balloon LTV is expected to be approximately 57.3%.
Principal Distributions: All principal payments (scheduled,
balloons and prepayments) will be distributed to
the various classes in the MRAC 1996-C2 Series
sequentially by credit seniority.
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Structural Term Sheet ("Structural Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Structural
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Structural
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. PSI, DMG, Llama, Midland Loan Services, L.P., or
their affiliates may in the future have a position in the securities discussed
herein and may purchase or sell the same on a principal basis or as agent for
another person. In addition, PSI and certain of its affiliates may be providing
currently investment banking and other services to the issuer of such securities
and the borrowers and their affiliates. Prior to making any investment decision,
a prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
Preliminary Computational Materials
Preliminary Structural Term Sheet
Allocation of Prepayment Penalties
& Yield Maintenance Premiums: Fixed percentage penalties will
be distributed exclusively to Class A-EC
Certificate-holders. Yield Maintenance
premiums will be split between Class A-EC and
tranche or tranches receiving principal
prepayment. The principal-receiving bond
will be made-whole to its pass-through rate.
Premiums received in excess of this will be
distributed to Class A-EC.
Distribution Date: The 25th day of each month, or if the 25th day
is not a Business Day, the Business Day
immediately following the 25th day.
Denominations: The Subordinated Certificates will be issued
in minimum denominations of $100,000.00 and
multiples of $1,000.00 in excess thereof.
Extension Advisor: THERE WILL BE NO EXTENSION ADVISOR.
Auction Call: If the REMIC Trust Fund for these Certificates
has not been earlier terminated, the Trustee
shall on the Distribution Date occurring in
June of each year from and including 2008, and
on any date after the Distribution Date
occurring in June 2008 on which the Trustee
receives an unsolicited bona fide offer to
purchase all (but not less than all) of the
Mortgage Loans (each, an "Auction
Valuation Date"), request that four independent
financial advisory, investment banking or
investment brokerage firms nationally
recognized in the field of real estate analysis
and reasonably acceptable to the Master
Servicer and the Special Servicer, provide the
Trustee with an estimated value at which the
Mortgage Loans and all other property
acquired in respect of any Mortgage Loan in the
REMIC Trust Fund could be sold pursuant to an
auction. If the aggregate value of the Mortgage
Loans and all other property acquired
in respect of any Mortgage Loan, as
determined by the average of the three
highest such estimates, equals or
exceeds the aggregate amount of the Certificate
Balances of all Certificates outstanding on
the Auction Valuation Date plus accrued
interest and expenses, the Trustee shall
conduct an auction of the Mortgage Loans and
such property and thereby effect a termination
of the REMIC Trust Fund and early retirement of
the then outstanding Certificates.
The Trustee shall accept no bid lower than the
Certificate Balances of all Certificates
outstanding on the Auction Valuation Date plus
accrued interest and expenses.
Optional Termination: The Special Servicer, Master
Servicer, Depositor and any holder of the
residual class of Certificates (the "Residual
Class") representing more than
a 50% interest of the Residual Class will each
have the option to purchase, at the purchase
price to be specified at a later date, all of
the Mortgage Loans, and all property
acquired through exercise of remedies in
respect of any Mortgage Loans, remaining in the
REMIC Trust Fund, and thereby effect a
termination of the REMIC Trust Fund
and early retirement of the then outstanding
Certificates, on any Distribution Date on
which the aggregate scheduled principal balance
of the Mortgage Loans remaining in the
REMIC Trust Fund is less than 10% of the
initial principal balance of the Mortgage Pool.
Prospective investors are advised to read carefully, and should rely solely on,
the final prospectus and final prospectus supplement (the "Final Prospectus")
relating to the securities referred to herein in making their investment
decision. This Investor Preliminary Structural Term Sheet ("Structural Term
Sheet") does not include all relevant information relating to the securities
described herein, particularly with respect to the risks and special
considerations associated with an investment in such securities. All Structural
information contained herein is preliminary and it is anticipated that such
information will change. Any information contained herein will be more fully
described in, and will be fully superseded by, the descriptions of the structure
in the Final Prospectus. Although the information contained in this Structural
Term Sheet is based on sources believed to be reliable, none of Midland Realty
Acceptance Corp. ("MRAC"), Prudential Securities Incorporated ("PSI"), Deutsche
Morgan Grenfell, Inc. ("DMG"), or Llama Company L.P. ("Llama"), makes any
representation or warranty that such information is accurate or complete. Such
information should not be viewed as projections, forecasts, predictions or
opinions with respect to value. PSI, DMG, Llama, Midland Loan Services, L.P., or
their affiliates may in the future have a position in the securities discussed
herein and may purchase or sell the same on a principal basis or as agent for
another person. In addition, PSI and certain of its affiliates may be providing
currently investment banking and other services to the issuer of such securities
and the borrowers and their affiliates. Prior to making any investment decision,
a prospective investor should receive and fully review the Final Prospectus.
NOTHING HEREIN SHOULD BE CONSIDERED AN OFFER TO SELL OR SOLICITATION OF AN OFFER
TO BUY ANY SECURITIES.
<PAGE>
