<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES AND EXCHANGE ACT OF 1934
Date of Report: October 14, 1999
- ---------------------------------
(Date of earliest event reported)
Credit Suisse First Boston Mortgage Securities Corp.
----------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 333-51771 13-3320910
- --------------------------------------------------------------------------------
(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
11 Madison Avenue, New York, New York 10010-3629
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Address of Principal Executive Office
Registrant's telephone number, including area code: (212) 325-3629
<PAGE>
ITEM 5. OTHER EVENTS.
Attached as Exhibit 99.1 to this Current Report is a collateral term
sheet (the "Collateral Term Sheet") in respect of the Registrant's Commercial
Mortgage Pass-Through Certificates, Series 1999-C1 (the "Certificates"). The
Certificates are being offered pursuant to a Prospectus and related Prospectus
Supplement (together, the "Prospectus"), which has been filed with the
Commission pursuant to Rule 424(b)(5) under the Securities Act of 1933, as
amended (the "Act"). The Certificates have been registered pursuant to the Act
under a Registration Statement on Form S-3 (No. 333-51771) (the "Registration
Statement"). The Registrant hereby incorporates the Collateral Term Sheet by
reference in the Registration Statement.
Any statement or information contained in the Collateral Term Sheet
shall be deemed to be modified or superseded for purposes of the Prospectus and
the Registration Statement by statements or information contained in the
Prospectus.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
(c) Exhibits
Exhibit No. Description
----------- -----------
99.1 Collateral Term Sheet
<PAGE>
Pursuant to the requirements of the Securities Act of 1934, the
Registrant has duly caused this report to be signed on behalf of the Registrant
by the undersigned thereunto duly authorized.
CREDIT SUISSE FIRST BOSTON
MORTGAGE SECURITIES CORP.
By: /s/ Alan Baum
-------------------------------
Name: Alan Baum
Title: Vice President
Date: October 18, 1999
<PAGE>
EXHIBIT INDEX
Exhibit No. Description Paper (P) or Electronic (E)
- ----------- ----------- ---------------------------
99.1 Collateral Term Sheet E
<PAGE>
TERM SHEET
[Two graphics were omitted from the top of each page in this Annex that
consisted of the corporate logos of Credit Suisse First Boston and Morgan
Stanley Dean Witter.]
October 12, 1999
(212) 325-3507 (212) 761-2164
CMBS NEW ISSUE
COLLATERAL AND STRUCTURAL TERM SHEET
$1.19 BILLION (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
----------------------------------------------
EXPECTED PRICING DATE: WEEK OF NOVEMBER 1, 1999
----------------------------------------------
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
AS DEPOSITOR
CREDIT SUISSE FIRST BOSTON MORTGAGE CAPITAL LLC &
MORGAN STANLEY MORTGAGE CAPITAL INC.
AS MORTGAGE LOAN SELLER
CREDIT SUISSE FIRST BOSTON CORPORATION &
MORGAN STANLEY & CO. INCORPORATED
AS CO-LEAD MANAGERS AND JOINT BOOKRUNNERS
-------------
CREDIT SUISSE FIRST BOSTON MORGAN STANLEY DEAN WITTER
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
1
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
I. ISSUE CHARACTERISTICS
<TABLE>
<S> <C>
ISSUE TYPE: Public: Classes A-1, A-2, A-X, B, C, D, E and F
Rule 144A: Classes G, H, J, K, L, M, N and O
OFFERED SECURITIES: Classes A-1, A-2, A-X, B, C, D, E and F, totaling $1,062,400,000
PASS-THROUGH STRUCTURE: Senior/Subordinate, Sequential Pay, Pass-Through Certificates
COLLATERAL: Pool of 153 fixed rate commercial and multifamily mortgage loans,
including 1 participation, totaling $1,187,129,449
SELLERS: Credit Suisse First Boston Mortgage Capital LLC and
Morgan Stanley Mortgage Capital Inc.
CO-LEAD MANAGERS AND Credit Suisse First Boston Corporation and
JOINT BOOKRUNNERS: Morgan Stanley & Co. Incorporated
MASTER SERVICER: Wells Fargo Bank, National Association, a national banking
association
SPECIAL SERVICER: Lennar Partners, Inc.
CERTIFICATE ADMINISTRATOR: Norwest Bank Minnesota, National Association, a national banking
association
TRUSTEE: The Chase Manhattan Bank, a New York banking corporation
CUT-OFF DATE: October 11, 1999
EXPECTED PRICING DATE: Week of November 1, 1999
EXPECTED CLOSING DATE: On or about November 5, 1999
DISTRIBUTION DATE: The fourth business day after the eleventh day of the month
(or the following business day) commencing November 18, 1999
MINIMUM DENOMINATIONS: $100,000 (notional) for A-X Certificates and in additional multiples
of $1; $25,000 for all other Certificates and in additional multiples
of $1
SETTLEMENT TERMS: DTC, Euroclear and Cedelbank, same day funds, with accrued
interest
ERISA: Classes A-1, A-2 and A-X Certificates are expected to be ERISA
eligible
SMMEA: No Class of Certificates is SMMEA eligible
RISK FACTORS: THE CERTIFICATES INVOLVE A DEGREE OF RISK AND MAY
NOT BE SUITABLE FOR ALL INVESTORS. SEE THE "RISK
FACTORS" SECTION OF THE PROSPECTUS SUPPLEMENT
AND THE "RISK FACTORS" SECTION OF THE PROSPECTUS
</TABLE>
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you information
in connection with your considering the purchase of certain securities described
herein. The attached information is being provided to you for informative
purposes only in response to your specific request. The information contained
herein has been compiled by CSFB and MS from sources that CSFB and MS believe to
be reasonably reliable. However, CSFB and MS make no representation or warranty
as to the accuracy or completeness of such information and you must make your
own determination as to whether the information is appropriate and responsive to
your request. Any investment decision with respect to the securities described
herein should be made solely on the results of your own due diligence with
respect to the securities referred to herein and only upon your review of the
prospectus and prospectus supplement. This information may not be delivered by
you to any other person without CSFB's and MS's prior written consent. CSFB and
MS may from time to time perform investment banking services for or solicit
investment banking business from any company named in the information herein.
CSFB and MS and/or their employees may from time to time have a long or short
position in any security discussed herein.
- --------------------------------------------------------------------------------
2
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
II. TRANSACTION FEATURES
LOAN POOL:
o 153 commercial and multifamily mortgage loans, including 1
participation, totaling approximately $1.19 billion
o Average Cut-off Date principal balance is approximately $7.76
million
o Mortgage loans are secured by 192 properties
o Three largest loans total approximately $157.0 million
representing 13% of initial pool balance
o Ten largest loans total approximately $405.8 million
representing 34% of initial pool balance
MORTGAGE LOAN SELLERS:
o Credit Suisse First Boston Mortgage Capital LLC (86% of initial
pool balance)
o Morgan Stanley Mortgage Capital Inc. (14% of initial pool
balance)
CREDIT STATISTICS:
o Weighted average debt service coverage ratio of 1.41x
o Weighted average loan-to-value of 67%
o Weighted average balloon/ARD loan-to-value of 59%
PROPERTY TYPES:
o Office: 29.9%
o Retail: 20.7%
o Multifamily: 15.1%
o Hospitality: 10.1%
o Industrial: 6.6%
o Mixed Use: 6.3%
o Cooperative: 3.9%
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Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
3
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
GEOGRAPHIC DISTRIBUTION:
o New York: 21.2%
o California: 18.1%
o Florida: 8.7%
o Washington: 5.7%
o 29 other states plus the District of Columbia and Puerto Rico
CALL PROTECTION:
o 99.5% subject to lockout/defeasance
o 0.5% subject to yield maintenance
o 0% subject to either fixed penalties or open to prepayment
RESERVES(1):
o 82.6% of the mortgage loans secured by office, retail,
industrial and mixed use properties have upfront and/or collected
tenant improvement/leasing commission escrow requirements
o 85.3% of the mortgage loans have upfront and/or collected
replacement reserve/FF&E escrow requirements
o 94.2% of the mortgage loans have insurance escrow requirements
o 98.7% of the mortgage loans have tax escrow requirements
COLLATERAL INFORMATION UPDATES:
o Certificateholder reports are expected to be available on the
world wide web at the Certificate Administrator's website
www.ctslink.com/cmbs.com and will include:
o Updated loan information; and
o Detailed payment and delinquency information
o The Servicer will provide updated property operating and
occupancy information to certificateholders, via the Certificate
Administrator's website at www.ctslink.com/cmbs.com
BOND INFORMATION:
o Bond cashflows are expected to be modeled by:
o TREPP (via Bloomberg);
o CONQUEST at www.cmbs.com; and
o INTEX
LEHMAN AGGREGATE BOND INDEX:
o It is expected that this transaction will be included in the
Lehman Aggregate Bond Index
- -----------
(1) excluding credit lease loans
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
4
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
III. EXECUTIVE SUMMARY
<TABLE>
<CAPTION>
% OF
AGGRE-
INITIAL GATE
CERTIFICATE INITIAL APPROXI-
BALANCE OR CERTIFI- MATE
NOTIONAL CATE CREDIT
CLASS RATING(A) BALANCE(B) BALANCE SUPPORT
<S> <C> <C> <C> <C>
OFFERED CERTIFICATES
A-1 AAA/AAA/Aaa $ 199,500,000 16.81% 26.50%
A-2 AAA/AAA/Aaa $ 673,000,000 56.69% 26.50%
A-X AAA/AAA/Aaa $1,187,129,449 NAP NAP
B AA/AA/Aa2 $ 53,400,000 4.50% 22.00%
C A/A/A2 $ 59,400,000 5.00% 17.00%
D A-/A-/A3 $ 14,800,000 1.25% 15.75%
E BBB/BBB/Baa2 $ 41,600,000 3.50% 12.25%
F BBB-/BBB-/Baa3 $ 20,700,000 1.75% 10.50%
PRIVATE CERTIFICATES (H)
G NR/BB+/NR $ 32,700,000 2.75% 7.75%
H NR/BB/NR $ 23,700,000 2.00% 5.75%
J NR/BB-/NR $ 11,900,000 1.00% 4.75%
K NR/B+/NR $ 11,900,000 1.00% 3.75%
L NR/NR/B2 $ 16,000,000 1.35% 2.40%
M NR/NR/B3 $ 9,500,000 0.80% 1.60%
N NR/CCC/NR $ 7,100,000 0.60% 1.00%
O NR/NR/NR $ 11,929,449 1.00% 0.00%
<CAPTION>
ASSUMED ASSUMED RATED
INITIAL WEIGHTED FINAL FINAL
PASS- AVERAGE ASSUMED DISTRIBU- DISTRIBU-
THROUGH LIFE PRINCIPAL TION TION
CLASS DESCRIPTION RATE (YEARS)(C) WINDOW DATE(D) DATE(E)
<S> <C> <C> <C> <C> <C> <C>
OFFER
CERTIFI
A-1 Fixed % 5.70 11/99-01/08 Jan. 2008 Sept. 2041
A-2 Fixed % 9.42 01/08-09/09 Sept. 2009 Sept. 2041
(Component Structure)
A-X Interest Only %(f) 9.15 11/99-03/19 Mar. 2019 Sept. 2041
B Fixed % 9.86 09/09-09/09 Sept. 2009 Sept. 2041
Weighted Average Net
C Mortgage Rate minus % %(g) 9.86 09/09-09/09 Sept. 2009 Sept. 2041
Weighted Average Net
D Mortgage Rate %(g) 9.86 09/09-09/09 Sept. 2009 Sept. 2041
Weighted Average Net
E Mortgage Rate %(g) 9.86 09/09-09/09 Sept. 2009 Sept. 2041
Weighted Average Net
F Mortgage Rate %(g) 9.93 09/09-10/09 Oct. 2009 Sept. 2041
PRIVATE CERTIFICATES (H)
Lesser of Fixed and Weighted
G Average Net Mortgage Rate %(g) 9.94 10/09-10/09 Oct. 2009 Sept. 2041
Lesser of Fixed and Weighted
H Average Net Mortgage Rate %(g) 9.97 10/09-11/09 Nov. 2009 Sept. 2041
Lesser of Fixed and Weighted
J Average Net Mortgage Rate %(g) 10.03 11/09-11/09 Nov. 2009 Sept. 2041
Lesser of Fixed and Weighted
K Average Net Mortgage Rate %(g) 10.07 11/09-06/10 June 2010 Sept. 2041
Lesser of Fixed and Weighted
L Average Net Mortgage Rate %(g) 12.79 06/10-09/13 Sept. 2013 Sept. 2041
Lesser of Fixed and Weighted
M Average Net Mortgage Rate %(g) 15.32 09/13-06/17 June 2017 Sept. 2041
Lesser of Fixed and Weighted
N Average Net Mortgage Rate %(g) 18.89 06/17-03/19 Mar. 2019 Sept. 2041
Lesser of Fixed and Weighted
O Average Net Mortgage Rate %(g) 19.36 03/19-03/19 Mar. 2019 N/A
</TABLE>
- ---------
(a) Ratings shown are those of Duff & Phelps Credit Rating Co., Fitch
IBCA, Inc. and/or Moody's Investors Service, Inc., respectively.
Classes marked "NR" will not be rated by the applicable rating
agency.
(b) The principal balance of any class may be changed by up to 5%.
(c) This is the average amount of time in years between the closing date
and the payment of each dollar of principal. The Class A-X
Certificates do not have a principal balance and do not receive
principal distributions; the weighted average life of this class is
based on its notional amount, which will decrease as the principal
balances of the other classes decrease.
(d) This date was calculated assuming, among other things, that there
are no voluntary or involuntary prepayments. There may be some
voluntary and/or involuntary prepayments.
(e) This date was set at two years after the latest maturity date of any
mortgage loan which is not a balloon loan or, for any balloon loan,
the date upon which it would be deemed to mature in accordance with
its original amortization schedule absent its balloon payment.
(f) This pass-through rate will change from time to time based on the
weighted average of the component rates.
(g) This pass-through rate may change based on the weighted average net
mortgage rate.
(h) Not offered hereby.
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
5
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
IV. PREPAYMENT PREMIUM ALLOCATION
FIXED PREPAYMENT PREMIUMS:
o Fixed prepayment premiums will be distributed on each
Distribution Date as follows:
o 25% will be distributed to the Classes A-1, A-2, B, C, D, E
and F Certificates, based upon the amount of principal
distributed, if any, to such class to the aggregate amount of
principal distributable on all classes of Certificates; and
o 75% will be distributed to the Class A-X Certificates
YIELD MAINTENANCE PREPAYMENT PREMIUMS:
o Yield maintenance prepayment premiums will be distributed on
each Distribution Date as follows:
o A portion (based on the Base Interest Fraction described
below) will be delivered to the Classes A-1, A-2, B, C, D, E
and/or F Certificates, pro rata, based upon the amount of
principal distributed, if any, to such class to the aggregate
amount of principal distributable on all classes of
Certificates; and
o The remainder will be distributed to the Class A-X
Certificates
o With respect to each class of Certificates, if any, the "Base
Interest Fraction" is a fraction having:
o A numerator equal to the excess, if any, of the pass-through
rate on such class of Certificates over the discount rate
used in calculating the yield maintenance charge; and
o A denominator equal to the excess, if any, of the mortgage
rate of the prepaid loan over such discount rate
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
6
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
YIELD MAINTENANCE PREPAYMENT PREMIUM EXAMPLE:
o The following is an example of the yield maintenance prepayment
premium described above based on the information contained herein
and the following assumptions:
o Two classes of Certificates: Classes A-1 and A-X
o The characteristics of the mortgage loan being prepaid are
as follows:
--Mortgage rate: 8.0%
--The discount rate is equal to 5.75%
--The Class A-1 pass-through rate is equal to 7.00%
<TABLE>
<CAPTION>
CLASS A-1 CLASS A-X
METHOD CERTIFICATES CERTIFICATES
- ------------------------------------------------- -------------------- -----------------------
<S> <C> <C>
(Class A- 1 Pass Through Rate - Yield Rate) (7.00% - 5.75%) (100.00% - 55.56%)
- ------------------------------------------------- ---------------
(Mortgage Rate - Yield Rate) (8.00% - 5.75%)
Prepayment Premium Allocation 55.56% 44.44%
</TABLE>
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
7
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
V. ADDITIONAL DEAL FEATURES
PREPAYMENT INTEREST SHORTFALLS:
o Any prepayment interest shortfalls that are not offset by the
master servicing fee and investment interest accrued on such
prepayments from the date of prepayment will be allocated pro
rata to each class of Certificates in proportion to the amount of
interest accrued on such class on such Distribution Date
CONTROLLING CLASS:
o The most subordinate class of Certificates then outstanding that
has a principal balance at least equal to 25% of the initial
principal balance of such class; or
o If no such class exists, the most subordinate class then
outstanding
o The holders of greater than 50% of the percentage interests of
the controlling class will be entitled to remove the special
servicer and appoint a successor special servicer subject to
written confirmation from each rating agency that such removal
and appointment, in and of itself, would not cause a downgrade,
qualification or withdrawal of the then current ratings assigned
to any class of Certificates
SPECIAL SERVICER/LOAN MODIFICATIONS:
o The Special Servicer will be responsible for servicing loans
that, in general, are in default or are in imminent default and
for administering REO properties. The Special Servicer may (if in
the sole good faith reasonable judgement of the Special Servicer
believes such action would maximize the recovery to the holders
of the Certificates on a present value basis):
o Modify such loans (with certain limitations); and
o Extend the date on which any balloon payment is scheduled to
be due
o Generally, the Special Servicer will be permitted to modify,
waive or amend any term of a non-defaulted loan, provided such
modification, waiver or amendment will not:
o Affect the amount or timing of any payments under the loan;
o Affect the obligation of the borrower to pay a prepayment
premium or yield maintenance prepayment premium or permit a
prepayment during a lockout period;
o Result in a release of the lien of the related mortgage on
any material portion of the mortgaged property without a
corresponding principal prepayment; or
o Materially impair the security for the loan or reduce the
likelihood of timely payment of amounts due thereon
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
8
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
PRINCIPAL & INTEREST ADVANCES:
o The Master Servicer will generally be required to advance
delinquent scheduled payments of principal and interest on the
mortgage loans (excluding any balloon payments, default interest
or excess interest) and other required amounts through
liquidation, subject to a determination of recoverability
OPTIONAL TERMINATION:
o At any time the Trust Fund balance is equal to or less than
1.00% of the original Trust Fund balance, the Trust Fund may be
terminated and the Certificates retired at the option of:
o The mortgage loan sellers; or, if they decline,
o The Special Servicer; or, if it declines,
o The majority holder of the Controlling Class; or, if it
declines,
o The Servicer
ADDITIONAL INVESTOR REPORTING:
o This transaction introduces two new features to enhance investor
reporting through the use of the Certificate Administrator's
website, located at www.ctslink.com/cmbs:
o The Investor Q&A Forum. After accessing the Certificate
Administrator's website, investors will be able to e-mail
questions regarding the mortgage loans to the Certificate
Administrator and the Certificate Administrator will contact
the servicer and special servicer to obtain responses,
generally within two business days. Questions and answers will
be posted in the Q&A Forum so that all investors have access
to the information presented.
o Special Events Reports. The servicer will post notices of
certain "special events" for the top 10 loans in the pool.
This information is intended to supplement the information in
the distribution date statements and provide information about
major events in a more timely manner.
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
9
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
LOCATION -- % BY INITIAL POOL BALANCE
[A graphic was omitted that consisted of a map of the United States that
illustrated the number of properties in each state and their respective
percentage of the Initial Pool Balance by state.]
[THE NARRATIVE AND/OR TABULAR INFORMATION BELOW IS A FAIR AND ACCURATE
DESCRIPTION OF GRAPHIC OR IMAGE MATERIAL OMITTED FOR THE
PURPOSE OF EDGAR FILING.]
IDAHO
1 property
$3,538,619
0.3% of total
UTAH
1 property
$6,689,444
0.6% of total
SOUTH DAKOTA
1 property
$2,393,088
0.2% of total
MISSOURI
4 properties
$29,898,309
2.5% of total
MINNESOTA
2 properties
$23,109,325
1.9% of total
ILLINOIS
5 properties
$15,518,796
1.3% of total
WISCONSIN
1 property
$9,343,927
0.8% of total
INDIANA
6 properties
$30,876,066
2.6% of total
OHIO
3 properties
$9,599,114
0.8% of total
PENNSYLVANIA
3 properties
$33,376,878
2.8% of total
MASSACHUSETTS
6 properties
$55,087,558
4.6% of total
CONNECTICUT
9 properties
$4,609,346
0.4% of total
NEW YORK
22 properties
$251,732,951
21.2% of total
NEW JERSEY
8 properties
$37,367,315
3.1% of total
MARYLAND
3 properties
$13,635,251
1.1% of total
WASHINGTON, DC
2 properties
$41,002,306
3.5% of total
VIRGINIA
1 property
$9,491,226
0.8% of total
WEST VIRGINIA
1 property
$6,993,787
0.6% of toal
TENNESSEE
1 property
$2,247,460
0.2% of total
NORTH CAROLINA
4 properties
$15,736,942
1.3% of total
GEORGIA
4 properties
$12,436,780
1.0% of total
SOUTH CAROLINA
2 properties
$3,626,107
0.3% of total
FLORIDA
11 properties
$102,758,714
8.7% of total
PUERTO RICO
1 property
$38,774,229
3.3% of total
KENTUCKY
1 property
$3,997,256
0.3% of total
MISSISSIPPI
1 property
$1,499,030
0.1% of total
ARKANSAS
1 property
$632,896
0.1% of total
TEXAS
13 properties
$43,498,766
3.7% of total
NEW MEXICO
2 properties
$7,755,877
0.7% of total
ARIZONA
7 properties
$20,031,455
1.7% of total
COLORADO
8 properties
$55,804,753
4.7% of total
CALIFORNIA
48 properties
$214,766,958
18.1% of total
NEVADA
2 properties
$808,010
0.1% of total
OREGON
1 property
$10,942,638
0.9% of total
WASHINGTON
6 properties
$67,548,276
5.7% of total
Less than 1.00% of Cut-Off Date Allocated Loan Amount [ ]
1.00 - 5.99% of Cut-Off Date Allocated Loan Amount [ ]
6.00 - 9.99% of Cut-Off Date Allocated Loan Amount [ ]
Greater than 9.99% of Cut-Off Date Allocated Loan Amount [ ]
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
10
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
PROPERTY TYPE -- % BY INITIAL POOL BALANCE
[A graphic was omitted that consisted of a pie chart that indicated the
percentage of the types of properties in the Initial Pool Balance.]
[THE NARRATIVE AND/OR TABULAR INFORMATION BELOW IS A FAIR AND ACCURATE
DESCRIPTION OF GRAPHIC OR IMAGE MATERIAL OMITTED FOR THE
PURPOSE OF EDGAR FILING.]
LESS THAN 3%
Unanchored Retail 2.8%
Extended Stay Lodging 2.4%
Special Purpose 2.3%
Self-Storage 1.5%
Manufactured Housing Communities 0.2%
CREDIT LEASE 3.4%
LIMITED SERVICE LODGING 3.6%
COOPERATIVE 3.9%
FULL SERVICE LODGING 4.2%
MIXED USE 6.3%
INDUSTRIAL 6.6%
MULTIFAMILY
15.1%
OFFICE
29.9%
ANCHORED RETAIL
17.9%
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
11
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
MORTGAGE LOAN, CREDIT AND CALL PROTECTION BY PROPERTY TYPE
<TABLE>
<CAPTION>
CUT-OFF % OF WTD. AVG. WTD. AVG.
DATE INITIAL REMAINING REMAINING RATIO OF
PRINCIPAL POOL WTD. AVG. WTD. AVG. WTD. AVG. LO & YM TERM LO & YM
PROPERTY TYPE BALANCE BALANCE COUPON DSCR LTV (MOS) (MOS) TO TERM
- --------------- ----------------- --------- ----------- ----------- ----------- ----------- ----------- ---------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Office $ 355,372,711 29.9% 8.080% 1.33x 68% 111 115 96.5%
Retail $ 245,815,317 20.7% 8.220% 1.26x 74% 111 115 96.5%
Multifamily $ 178,770,749 15.1% 7.874% 1.43x 65% 104 110 94.5%
Hospitality $ 120,232,595 10.1% 8.188% 1.78x 58% 114 118 96.6%
Industrial $ 77,816,897 6.6% 8.068% 1.31x 72% 113 118 95.8%
Mixed Use $ 74,492,699 6.3% 7.513% 1.44x 67% 103 106 97.2%
Cooperative $ 46,740,745 3.9% 8.385% 2.02x 47% 109 127 85.8%
Credit Lease $ 40,282,058 3.4% 6.697% N/A N/A 229 233 98.3%
Other $ 47,605,679 4.0% 8.681% 1.36x 68% 106 117 90.6%
-------------- ----- ----- -------- -- --- --- ----
TOTAL/AVG $1,187,129,449 100.0% 8.041% 1.41x 67% 114 119 95.8%
============== ===== ===== ======== == === === ====
</TABLE>
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
12
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
INTEREST PAYMENTS AND PRINCIPAL WINDOWS
[A graphic was omitted that consisted of a horizontal bar graph illustrating
the interest payments and principal windows of each class of certificates.]
Note: The Class A-1, A-2 and A-X certificates will be paid interest on a pro
rata basis.
The above analysis is based on the maturity assumptions and a 0% CPR as
described in the Prospectus Supplement.
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
13
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
CALL PROTECTION BY PREPAYMENT RESTRICTION CATEGORIES
[A graphic was omitted that consisted of a vertical bar graph that
demonstrated the call procetion by prepayment restriction categories.]
Note: Any unplotted amounts are assumed zero; may not add up to 100% due to
rounding
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
14
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
TOP TEN LOANS SUMMARY
<TABLE>
<CAPTION>
CUT-OFF DATE
PROPERTY PRINCIPAL
PROPERTY NAME TYPE PROPERTY LOCATION BALANCE
- ------------------------ -------------- ----------------------- --------------
<S> <C> <C> <C>
Exchange Apartments Multifamily New York, New York $58,000,000
Selig Loans Office Seattle, Washington $51,092,418
Tallahassee Mall Retail Tallahassee, Florida $47,937,104
ACCOR Loans Credit Lease Various Cities $40,282,058
Hato Rey Tower Office San Juan, Puerto Rico $38,774,229
L'Enfant Plaza Mixed Use Washington, DC $37,204,671
Holiday Inn-Broadway Lodging New York, New York $36,000,000
Scholastic Building Office New York, New York $33,965,600
Blue Hills Office Park Office Canton, Massachusetts $33,149,000
150 William Street Office New York, New York $29,440,579
<CAPTION>
% OF LOAN PER
INITIAL UNITS/ UNIT/
POOL SQUARE SQUARE
PROPERTY NAME BALANCE FOOT FOOT DSCR LTV
- ------------------------ --------- ---------------- -------------- ---------- ----------
<S> <C> <C> <C> <C> <C>
Exchange Apartments 4.9% 345 $168,116 1.48x 46.0%
Selig Loans 4.3% 620,831 $ 82 1.24x 52.6%
Tallahassee Mall 4.0% 973,973 $ 49 1.15x 70.1%
ACCOR Loans 3.4% 1,224 $32,910 N/A N/A
Hato Rey Tower 3.3% 346,231 $ 112 1.25x 73.9%
L'Enfant Plaza 3.1% 889,438(1) $ 133(1) 1.39x 65.9%
Holiday Inn-Broadway 3.0% 531 $67,797 1.94x 43.9%
Scholastic Building 2.9% 225,000 $ 151 1.49x 77.2%
Blue Hills Office Park 2.8% 273,863 $ 121 1.20x 78.9%
150 William Street 2.5% 477,572 $ 62 1.20x 72.3%
</TABLE>
- -----------
(1) Reflects office square footage and the allocated loan per square foot for
the office space. The hotel has 370 rooms and an allocated loan balance
per room of $83,660.
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
15
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
EXCHANGE APARTMENTS
LOAN INFORMATION
PRINCIPAL BALANCE(1): ORIGINAL CUT-OFF DATE
-------- -------------
$58,000,000 $58,000,000
ORIGINATION DATE(2): December 23, 1997
INTEREST RATE: 7.75%
AMORTIZATION TERM: Interest only until February 2000; then 336
Months
ARD: January 11, 2008
ARD BALANCE: $52,247,291
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 9.75% and a pro rata portion of
all excess cash flow is used to reduce
outstanding principal balance; the
additional 2% interest is deferred until
principal balance is zero
MATURITY DATE: January 11, 2027
BORROWER (SPECIAL
PURPOSE ENTITY): Broad Street LLC; managing member is a
special purpose entity, the board of which
contains an independent director; a
non-consolidation opinion was obtained in
connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until six months
prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE
FOOT(1): $142
LOAN PER UNIT(1): $168,116
UP-FRONT RESERVES(3): TI & LC: $150,000
ONGOING RESERVES: CapEx (per year): $69,000/$200 per unit
TI & LC (per year)(3): $20,609/$.94 per sq.ft.
Real Estate Taxes &
Insurance Reserve: Yes(4)
LOCKBOX: Springing
MEZZANINE LOAN AND Yes; $6,000,000 mezzanine loan at an
PREFERRED EQUITY interest rate of Prime plus 1%; subject
INTEREST: to subordination and intercreditor
agreement
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Multifamily
LOCATION: New York, New York
YEAR BUILT/RENOVATED: 1902/1997
OCCUPANCY(5): 97%
COLLATERAL: One 21-story, 345 unit
Manhattan apartment building
(with 21,840 sq. ft. of retail
space)
FEE OR LEASEHOLD: Fee
SQUARE FOOTAGE (NRSF): 409,890
NUMBER OF UNITS: 345
PROPERTY MANAGEMENT: The Argo Corporation
1998 NET OPERATING INCOME: $7,861,360
UNDERWRITTEN NET CASH FLOW: $7,535,021
APPRAISED VALUE: $126,000,000
CUT-OFF DATE LTV(1): 46.0%
ARD LTV(1)(6): 41.5%
UNDERWRITTEN DSCR(1)(7)(8): 1.48x
(1) For the Exchange Apartments Note A only.
(2) Six existing notes in the aggregate original principal amount of
$75,000,000 were consolidated on December 23, 1997. The consolidated note
was split into the Exchange Apartments Note A and Exchange Apartments
Note B on October 8, 1999.
(3) Tenant improvement and leasing commission reserves on retail space only.
(4) The Exchange Apartments Borrower is required to make monthly payments
into a tax and insurance escrow fund in an amount sufficient to
accumulate funds needed to pay (i) all taxes prior to their respective
due dates and (ii) insurance premiums prior to the expiration thereof.
(5) Residential occupancy based on the August 1999 rent roll.
(6) The ARD LTV takes into account the effect on the appraised value of the
related Mortgaged Property of the partial expiration of a tax abatement
on the Exchange Apartments Property.
(7) The Exchange Apartments Note A would have an underwritten debt service
coverage ratio on a net cash flow basis of 1.86x, if the calculations
were based on actual taxes (taking into account an applicable tax
abatement) and inclusive of the $392,000 of annual income from a signed
lease for a portion of the Exchange Apartment Property's retail space.
The 1.48x underwritten debt service coverage presented includes the
actual total tax expense projected to be incurred during the amortization
term averaged over the number of years in the amortization term and does
not include income from the retail space.
(8) Calculated based on the amortizing debt service payments.
16
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
SELIG LOANS
LOAN INFORMATION
PRINCIPAL BALANCE(1): ORIGINAL CUT-OFF DATE
-------- ------------
$51,150,000 $51,092,418
ORIGINATION DATE: April 27, 1999
INTEREST RATE: 7.99%
AMORTIZATION: 360 Months
ARD: May 11, 2009
ARD BALANCE(1): $45,936,007
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 9.99% and all excess cash flow is
used to reduce outstanding principal
balance; the additional 2% interest is
deferred until principal balance is zero
MATURITY DATE: May 11, 2029
BORROWERS (SPECIAL
PURPOSE ENTITIES): Selig Real Estate Holdings Thirteen, LLC,
Selig Real Estate Holdings Fourteen, LLC
and Selig Real Estate Holdings Fifteen, LLC;
each has a managing member that is a special
purpose, bankruptcy remote entity, the board
of which includes an independent director;
non-consolidation opinions were obtained in
connection with origination
CALL PROTECTION: Two-year prepayment lockout from the date
of securitization with U.S. Treasury
defeasance thereafter until two months prior
to the ARD
CUT-OFF DATE
LOAN PER
SQUARE FOOT(1): $82
UP-FRONT RESERVES: Deferred Maintenance
Reserve: $25,388
Environmental Reserve: $1,875
TI & LC: $510,000
Per SF
--------
ONGOING RESERVES: CapEx (per year): $124,078 $0.20
TI & LC (per year): $880,000 $1.42
Real Estate Taxes &
Insurance Reserve(2): Yes
LOCKBOX: Hard
CROSS COLLATERALIZATION/
CROSS DEFAULT: Yes
PARTIAL DEFEASANCE: Yes; Release price of 125% of Property
Release Amount
MEZZANINE LOAN: Yes; $23,100,000 mezzanine loan at an
interest rate of 15%; subject to
subordination and intercreditor
agreement(4)
PROPERTY INFORMATION
SINGLE ASSET/
PORTFOLIO: Portfolio of 3 assets
PROPERTY TYPE: Office
LOCATION: Seattle, Washington area
YEAR BUILT: Third and Broad 1982
3131 Elliot Building 1986
Airborne Building 1984
OCCUPANCY(1)(3): 95%
COLLATERAL: Three office properties totaling 620,831
square feet
FEE OR LEASEHOLD: Fee
MAJOR % OF
PROPERTY TENANTS NRSF GLA EXPIRATION
-------- ------- ---- ----- ----------
Third and Broad Active
Voice
Corporation 130,441 50.6% 7/10/09
Muzak, Ltd. 43,324 16.8% 1/15/05
3131 Elliot Building Airborne
Freight
Corporation 129,505 70.0% 11/30/04
Emeritus
Corporation 26,871 14.5% 6/30/06
Airborne Building Airborne
Freight
Corporation 177,917 100% 11/30/04
SQUARE FOOTAGE(1): 620,831
PROPERTY
MANAGEMENT: Martin Selig Real Estate
1998 NET OPERATING
INCOME(1): $6,117,264
UNDERWRITTEN NET
CASH FLOW(1): $5,560,246
APPRAISED VALUE(1): $97,200,000
CUT-OFF DATE LTV(1): 52.6%
ARD LTV(1): 47.3%
UNDERWRITTEN
DSCR(1): 1.24x
(1) For the Selig Loans in the aggregate.
(2) The Selig Borrowers are required to make monthly payments into a tax and
insurance escrow fund in an amount sufficient to accumulate funds needed
to pay (i) all taxes prior to their respective due dates and (ii)
insurance premiums prior to the expiration thereof.
(3) Based on the August/September 1999 rent rolls.
(4) Such mezzanine loan is also secured by equity in entities owning other
properties.
17
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
TALLAHASSEE MALL
LOAN INFORMATION
PRINCIPAL BALANCE: ORIGINAL CUT-OFF DATE
-------- ------------
$48,000,000 $47,937,104
ORIGINATION DATE: July 1, 1999
INTEREST RATE: 8.60%
AMORTIZATION: 360 Months
ARD: July 11, 2009
ARD BALANCE: $43,551,339
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 10.60% and all excess cash flow
is used to reduce outstanding principal
balance; the additional 2% interest is
deferred until principal balance is zero
MATURITY DATE: July 11, 2029
BORROWER (SPECIAL
PURPOSE ENTITY): Tallahassee Mall Partners, Ltd.; managing
general partner is a special purpose,
bankruptcy remote corporation, the board
of which includes an independent director;
a non-consolidation opinion was obtained
in connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until two months
prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE
FOOT: $49
UP-FRONT RESERVES: Deferred
Maintenance: $195,500
Environmental approximately
Escrow: $340,128
Ground Lease
Reserve: $36,667
TI & LC(1): $1,535,620
Roof Repair
Reserve(2): $875,000
Per SF
------
ONGOING RESERVES: CapEx (per year): $146,100 $0.15
Real Estate Taxes &
Insurance Reserve(3): Yes
TI & LC(1): Yes
Ground Lease
Reserve:(4) Yes
LOCKBOX: Hard
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Anchored Retail
LOCATION: Tallahassee, FL
YEAR BUILT/RENOVATED: 1971/1996
OCCUPANCY(5): 96%
COLLATERAL: Leasehold mortgage on a regional
mall
FEE OR LEASEHOLD: Leasehold
GROUND LEASE: The Property is subject to a ground
lease which expires on February 28,
2044; one 20 year extension option
LEASE
MAJOR TENANTS NRSF % OF GLA EXPIRATION
------------- ---- -------- ----------
Dillard's 203,660 20.9% 01/31/03
Parisian 114,869 11.8% 05/31/07
Burlington Coat Factory(6) 101,888 10.5% 03/31/02
AMC Theater 69,213 7.1% 09/30/16
Goody's 66,110 6.8% 01/31/02
SQUARE FOOTAGE: 973,973
PROPERTY MANAGEMENT: Jones Lang LaSalle Management
Services, Inc.
1998 NET OPERATING
INCOME: $3,700,054
UNDERWRITTEN NET CASH
FLOW: $5,153,369
APPRAISED VALUE: $68,400,000
CUT-OFF DATE LTV: 70.1%
ARD LTV: 63.7%
UNDERWRITTEN DSCR: 1.15x
(1) The leasing reserve fund established at closing must be maintained at
$300,000 during the term of the Tallahassee Mall Loan. If such reserve
falls below $300,000, the Tallahassee Mall Borrower must escrow monthly
the lesser of $30,000 or the amount required to replenish the reserve to
the $300,000 level.
(2) The Tallahassee Mall Borrower funded an initial
$875,000 roof repair reserve fund at closing and is required to fund
$3,700 monthly until the reserve reaches $1,097,000 (125% of the
estimated cost of the roof repair) or until all roof repairs indicated in
the engineer's report are completed.
(3) The Tallahassee Mall Borrower is required to make monthly payments into a
tax and insurance escrow fund in an amount sufficient to accumulate funds
needed to pay (i) all taxes prior to their respective due dates and (ii)
insurance premiums prior to the expiration thereof.
(4) The Tallahassee Mall Borrower is required to escrow monthly one-twelfth
of annual ground rent.
(5) Based on the July 1999 rent roll.
(6) It is anticipated that Burlington Coat Factory will be in occupancy by
December 1, 1999.
18
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
ACCOR LOANS
LOAN INFORMATION
PRINCIPAL BALANCE(1): ORIGINAL CUT-OFF DATE
----------- -------------
$40,986,486 $40,282,058
ORIGINATION DATE: July 20, 1998
INTEREST RATE:
California North 6.721%
Mountain 6.684%
AMORTIZATION:
California North 337 Months
Mountain 290 Months
BALLOON PAYMENT(1)(2): $15,055,200
MATURITY DATE: March 11, 2019
BORROWER (SPECIAL
PURPOSE ENTITIES): California North S9, LLC and
Mountain S9, LLC; each has a
managing member that is a special
purpose, bankruptcy remote
entity, the board of which
contains an independent director;
non-consolidation opinions were
obtained in connection with
origination
CALL PROTECTION: Two-year prepayment lockout
from the date of securitization
with U.S. Treasury defeasance
thereafter until three months
prior to the maturity
CUT-OFF DATE
LOAN PER ROOM(1): $32,910
LOCKBOX: Hard
CROSS COLLATERALIZATION/
CROSS DEFAULT: Yes
CREDIT: ACCOR, S.A. (rated BBB by S&P
with a negative outlook)
PARTIAL RELEASE: In the event of a major
casualty or condemnation or if
any mortgaged property becomes
economically obsolete
COMPANY DESCRIPTION: ACCOR is a global hospitality
and travel group with over 3,000
hotels and with activities in
tourism, institutional catering,
service vouchers and auto rental
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Portfolio of 11 Motel 6
Properties
PROPERTY TYPE: Credit Lease
COLLATERAL: Two bondable master leases
secured by first mortgage liens
on two pools consisting of 11
Motel 6 Hotels
FEE OR LEASEHOLD: Fee
YEAR BUILT/
PROPERTY RENOVATED NO. OF UNITS
-------- ----------- ------------
Victorville, CA 1986/1997 62
Turlock, CA 1978/1998 101
Pittsburg, CA 1980/1996 174
Mojave, CA 1986/1997 121
Big Bear Lake, CA 1981/1997 121
Fort Collins, CO 1978/1997 126
Wheat Ridge, CO 1980/1999 92
Coeur D'Alene, ID 1978/1997 109
Santa Rosa, NM 1978/1998 90
Raton, NM 1977/1999 103
Woods Cross, UT 1990/NA 125
NUMBER OF ROOMS(1): 1,224
PROPERTY MANAGEMENT: Universal Commercial
Credit V, Inc.
UNDERWRITTEN LEASE
PAYMENT(1): $3,366,237
APPRAISED VALUE (AS LEASED)(1): $40,840,000
APPRAISED VALUE (AS DARK)(1): $34,160,000
CUT-OFF DATE LTV (AS DARK)(1): 118.0%
(1) For the ACCOR Loans in the aggregate.
(2) The ACCOR Loans do not fully amortize over the term. The Balloon Payment
due at maturity is fully insured with a residual value insurance policy
provided by R.V.I. America Insurance Company.
19
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
HATO REY TOWER
LOAN INFORMATION
PRINCIPAL BALANCE: ORIGINAL CUT-OFF DATE
-------- ------------
$38,800,000 $38,774,229
ORIGINATION DATE: September 13, 1999
INTEREST RATE: 8.05%
AMORTIZATION: 360
ARD: September 11, 2009
ARD BALANCE: $34,745,284
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 10.05% and all excess cash flow
is used to reduce outstanding principal
balance; the additional 2% interest is
deferred until principal balance is zero
MATURITY DATE: September 11, 2029
BORROWER (SPECIAL
PURPOSE ENTITY): Apollo Hato Rey, L.P.; general partner is
a special purpose, bankruptcy remote
corporation, the board of which contains
an independent director; a non-
consolidation opinion was obtained in
connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until two months
prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE FOOT: $112
UP-FRONT RESERVES: Deferred
Maintenance(1): $667,083
Other(2): $3,663,000
Per SF
------
ONGOING RESERVES: CapEx (per year): $87,562 $0.25
TI & LC (per year): $340,469 $0.98
Real Estate Taxes &
Insurance Reserve(3): Yes
LOCKBOX: Hard
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single Asset
PROPERTY TYPE: Office
LOCATION: San Juan, Puerto Rico
YEAR BUILT: 1972
OCCUPANCY(4): 98%
COLLATERAL: One 23-story, 346,231 square
foot office property (with
ancillary 730 space parking
garage)
FEE OR LEASEHOLD: Fee
% OF LEASE
MAJOR TENANTS NRSF GLA EXPIRATION
- -------------------------------- -------- ------ -------
Banco Popular
de Puerto Rico(5) 55,529 16.0% 6/30/05
Banco de Desarrollo
Economico 42,984 12.4% 5/31/01
Axtmayer Adsuar
Muniz & Goyco 27,863 8.1% 8/31/04
SQUARE FOOTAGE: 346,231
PROPERTY MANAGEMENT: Insignia Commercial Group, Inc.
1998 NET OPERATING INCOME: $4,967,425
UNDERWRITTEN NET CASH FLOW: $4,292,362
APPRAISED VALUE: $52,500,000
CUT-OFF DATE LTV: 73.9%
ARD LTV: 66.2%
UNDERWRITTEN DSCR: 1.25x
(1) The deferred maintenance reserve is required to fund certain repairs,
including the replacement of certain ventilation and air conditioning
systems and the repaving of the parking facilities at the Hato Rey Tower
Property.
(2) At closing a leasing achievement reserve was established of $3,663,000
which will be released upon lease extensions or renewals for certain
tenants and/or upon delivery of qualified substitute leases.
(3) The Hato Rey Tower Borrower is required to make monthly payments into a
tax and insurance escrow fund in an amount sufficient to accumulate funds
needed to pay (i) all taxes prior to their respective due dates and (ii)
insurance premiums prior to the expiration thereof.
(4) Based on the September 1999 rent roll.
(5) Banco Popular de Puerto Rico has the right to terminate its lease every
two years during the term thereof.
20
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
L'ENFANT PLAZA
LOAN INFORMATION
PRINCIPAL BALANCE(1): ORIGINAL CUT-OFF DATE
----------- -------------
$37,500,000 $37,204,671
ORIGINATION DATE: September 18, 1998
INTEREST RATE: 7.64%
AMORTIZATION: 360 Months
ARD: October 11, 2008
ARD BALANCE(1): $33,249,718
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 9.64% and a pro rata portion of
all excess cash flow is used to reduce
outstanding principal balance; the
additional 2% interest is deferred until
principal balance is zero
MATURITY DATE: October 11, 2028
BORROWER (SPECIAL
PURPOSE ENTITY): Potomac Creek Associates, L.P.; general
partner is a single purpose, bankruptcy
remote entity, the board of which
contains an independent director; a
non-consolidation opinion was obtained
in connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until two months
prior to the ARD
CUT-OFF DATE
LOAN PER UNIT(9): $133 Per Square Foot (Office)
$83,660 Per Room (Hotel)
UP-FRONT RESERVES: CapEx(2): $10,000,000
Large Lease Escrow
Fund(3): $ 8,000,000
Small Lease Escrow
Fund(3): $ 2,000,000
ONGOING RESERVES: CapEx(2): Yes
Monthly Large Lease
Escrow Fund (per
annum)(3)(5): $ 1,000,000
Monthly Small Lease
Escrow Fund (per
annum)(3)(6): $ 2,000,000
Real Estate Taxes &
Insurance(4): Yes
LOCKBOX: Hard
MEZZANINE LOAN AND Yes; $2,500,000 mezzanine loan and
PREFERRED EQUITY $45,400,000 equity investment with an
INTEREST: interest rate and yield at the greater of
LIBOR plus 5.235% and 10.325%,
subject to subordination and
intercreditor agreement
PARTIAL DEFEASANCE: Yes (Release price of 125% of Property
Release Amount).
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Portfolio of 3 mixed use
buildings
PROPERTY TYPE: Mixed Use
LOCATION: Washington, DC
YEAR BUILT/RENOVATED: L'Enfant -- North
Building (400
10th Street SW) 1968/1990
L'Enfant -- East
Building (480
L'Enfant Plaza SW) 1972/1990
L'Enfant -- Center
Building (420 10th
Street SW) 1972/1990
OCCUPANCY(7): 97% (Office)
81% (Hotel)
COLLATERAL: Secured by one office property
(consisting of three buildings)
and one hotel property
FEE OR LEASEHOLD(8): Fee and Leasehold(8)
% OF LEASE
MAJOR TENANTS (OFFICE) NRSF GLA EXPIRATION
---------------------- ---- ---- ----------
General Service
Administration 287,179 32.3% 06/30/01
US Postal Service 139,270 15.7% 06/11/08
SQUARE FOOTAGE (OFFICE): 889,438
NUMBER OF ROOMS (HOTEL): 370
PROPERTY MANAGEMENT: Sarakreek Management
Partners LLC (Office)
Loews Hotel, Inc. (Hotel)
1998 NET OPERATING
INCOME(9): $20,289,597
UNDERWRITTEN NET CASH
FLOW(9): $17,748,918
APPRAISED VALUE: $226,000,000
CUT-OFF DATE LTV(9): 65.9%
ARD LTV(9): 58.9%
UNDERWRITTEN DSCR(9): 1.39x
(1) For L'Enfant Participation only.
(2) The L'Enfant Borrower is also required, to the extent that the deposit
balance falls below approximately $420,000, to make monthly deposits into
the replacement escrow fund in the amount of 4% of the gross revenues of
the hotel. As of the Cut-off Date, $4,699,302 was on deposit in the
capital expenditure reserve.
(3) As of the Cut-off Date, an aggregate of $5,023,923 was on deposit in such
accounts.
(4) The L'Enfant Borrower is required to make monthly payments into a tax and
insurance escrow fund in an amount sufficient to accumulate funds needed
to pay (i) all taxes prior to their respective due dates and (ii)
insurance premiums prior to the expiration thereof.
(5) The L'Enfant Borrower is required to fund such account monthly until
September 11, 2001.
(6) The L'Enfant Borrower is required to fund such account monthly commencing
on October 11, 2001.
(7) Based on the August 1999 rent roll for the office component and on the
L'Enfant Borrower's operating statement dated August 31, 1999 for the
hotel component.
(8) The L'Enfant Borrower has a lease with the District of Columbia
Redevelopment Land Agency for the portion of space over and under a
street that runs through the L'Enfant Property; such lease expires in
2064.
(9) Applies to L'Enfant Whole Loan.
21
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
HOLIDAY INN -- BROADWAY
LOAN INFORMATION
PRINCIPAL BALANCE ORIGINAL CUT-OFF DATE
-------- --------------------
$36,000,000 $36,000,000
ORIGINATION DATE: October 27, 1998
INTEREST RATE: 8.50%
AMORTIZATION: 300 months
ARD: September 11, 2009
ARD BALANCE: $30,035,151
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 10.50% and all excess cash flow
is used to reduce outstanding principal
balance; the additional 2% is deferred
until principal balance is zero
MATURITY DATE: September 11, 2024
BORROWER (SPECIAL
PURPOSE ENTITY): Herald Hotel Associates, L.P.; general
partner is a special purpose, bankruptcy
remote entity, the board of which
contains an independent director; a
non-consolidation opinion was obtained
in connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until three months
prior to the ARD
CUT-OFF DATE
LOAN PER ROOM: $67,797
UP-FRONT RESERVES: Ground Lease
Reserve: $148,000
FF&E Reserve: $140,150
Per Unit
--------
ONGOING RESERVES: CapEx (per year): $6,300 $11.84
Real Estate Taxes &
Insurance Reserve(1): Yes
Ground Lease
Reserve(2): Yes
FF&E Reserve(3): Yes
LOCKBOX: Springing
ADDITIONAL
INDEBTEDNESS(4): Indebtedness to an affiliate
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Hotel
LOCATION: New York, New York
YEAR BUILT/RENOVATED: 1898/1998
OCCUPANCY(5): 76%
COLLATERAL: Leasehold mortgage on one 18
story, 531 room hotel property
FEE OR LEASEHOLD: Leasehold
GROUND LEASE: Subject to a ground lease that
expires September 22, 2088
NUMBER OF ROOMS: 531
PROPERTY MANAGEMENT: Thurcon Properties, Ltd
1998 NET OPERATING INCOME: $3,702,429
UNDERWRITTEN NET CASH FLOW: $6,735,830
APPRAISED VALUE: $82,000,000
APPRAISED VALUE PER ROOM: $154,426
CUT-OFF DATE LTV: 43.9%
ARD LTV: 36.6%
UNDERWRITTEN DSCR: 1.94x
(1) The Holiday Inn -- Broadway Borrower is required to make monthly payments
into a tax and insurance escrow fund in an amount sufficient to
accumulate funds needed to pay (i) all taxes prior to their respective
due dates and (ii) insurance premiums prior to the expiration thereof.
(2) The Holiday Inn -- Broadway Borrower is required to escrow monthly
one-twelfth of the annual ground rent.
(3) The Holiday Inn -- Broadway Borrower is required to fund FF&E reserves
monthly in the amount of 3.0% of the gross revenues of the hotel in the
first year and in the amount of 4.0% of the gross revenues of the hotel
thereafter.
(4) A non-interest bearing unsecured loan from affiliates in an amount of
$3,059,290, subject to a subordination and standstill agreement.
(5) According to the Broadway Holiday Inn Borrower's operating statement
dated July 31, 1999.
22
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
SCHOLASTIC BUILDING
LOAN INFORMATION
PRINCIPAL BALANCE: ORIGINAL CUT-OFF DATE
-------- -------------
$34,000,000 $33,965,600
ORIGINATION DATE: August 4, 1999
INTEREST RATE: 8.38%
AMORTIZATION: 360 Months
ARD: August 11, 2009
ARD BALANCE: $30,688,510
HYPERAMORTIZATION: After the ARD, interest rate increases
by 2.00% to 10.38% and all excess
cash flow is used to reduce
outstanding principal balance; the
additional 2% interest is deferred
until principal balance is zero
MATURITY DATE: August 11, 2029
BORROWER (SPECIAL
PURPOSE ENTITY): ISE 555 Broadway, LLC; non-managing
member is a single purpose, bankruptcy
remote entity, the board of which
contains an independent director; a
non-consolidation opinion was obtained
in connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S.
Treasury defeasance thereafter until
one month prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE FOOT: $151
UP-FRONT RESERVES: Deferred
Maintenance: $28,750
Environmental
Reserve: $3,750
ONGOING RESERVES: CapEx (per year)(1): No
TI & LC(1): No
Real Estate Taxes &
Insurance Reserve(2): Yes
LOCKBOX: Hard
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Office
LOCATION: New York, New York
YEAR BUILT/RENOVATED: 1889/1990
OCCUPANCY: 100%
COLLATERAL: One 12-story, 225,000
square foot office property
FEE OR LEASEHOLD: Fee
% OF LEASE
MAJOR TENANTS NRSF GLA EXPIRATION
------------- ---- ---- ----------
Scholastic, Inc. 221,000 98.2% 7/31/29
SQUARE FOOTAGE: 225,000
PROPERTY MANAGEMENT: CB Richard Ellis, Inc.
1998 NET OPERATING
INCOME: $3,915,932
UNDERWRITTEN NET
CASH FLOW: $4,632,600
APPRAISED VALUE: $44,000,000
CUT-OFF DATE LTV: 77.2%
ARD LTV: 69.8%
UNDERWRITTEN DSCR: 1.49x
(1) No funds for tenant improvements, leasing commissions, or replacements
and repairs are escrowed. If Scholastic's long term rating falls below
BBB, it is required to deposit approximately $455,000 per annum to a cash
collateral account as a tenant improvements, leasing commission, and
repair and replacement reserve. Commencing on the ARD, the Scholastic
Building Borrower is required to deposit approximately $26,000 per month
into a cash collateral account to fund the Scholastic Building Borrower's
obligation to make a work allowance payment of $1.75 million to
Scholastic on July 1, 2014.
(2) The Scholastic Building Borrower is required to make monthly payments
into a tax and insurance escrow fund in an amount sufficient to
accumulate funds needed to pay (i) all taxes prior to their respective
due dates and (ii) insurance premiums prior to the expiration thereof.
23
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
BLUE HILLS OFFICE PARK
LOAN INFORMATION
PRINCIPAL BALANCE: ORIGINAL CUT-OFF DATE
-------- ------------
$33,149,000 $33,149,000
ORIGINATION DATE: September 14, 1999
INTEREST RATE: 8.49%
AMORTIZATION: 360 Months
ARD: October 11, 2009
ARD BALANCE: $29,994,367
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 10.49% and all excess cash flow
is used to reduce outstanding principal
balance; the additional 2% interest is
deferred until principal balance is zero
MATURITY DATE: October 11, 2029
BORROWER (SPECIAL
PURPOSE ENTITY): Blue Hills Office Park LLC; single
member and a non-member manager,
each of which is a special purpose,
bankruptcy remote entity, the board of
which contains an independent director; a
non-consolidation opinion was obtained
in connection with origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until six months
prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE FOOT: $121
UP-FRONT RESERVES: TI & LC: $125,000
Per Unit
--------
ONGOING RESERVES: CapEx (per year): $54,773 $0.20
TI & LC (per year)(1): Yes
Real Estate Taxes &
Insurance Reserve(2): Yes
LOCKBOX: Hard
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Office
LOCATION: Canton, MA
YEAR BUILT/RENOVATED: 1970/1985
OCCUPANCY: 100%
COLLATERAL: One 273,863 square foot office
property
FEE OR LEASEHOLD: Fee
% OF LEASE
MAJOR TENANT NRSF NRA EXPIRATION(3)
- ---------------------------- --------- ---- -------------
Bank Boston N.A.(4) 263,245 96% July 31, 2004
SQUARE FOOTAGE: 273,863
PROPERTY MANAGEMENT: Fineberg Management, Inc.
1998 NET OPERATING
INCOME: $4,020,488
UNDERWRITTEN NET CASH
FLOW: $3,667,346
APPRAISED VALUE: $42,000,000
CUT-OFF DATE LTV: 78.9%
ARD LTV: 71.4%
UNDERWRITTEN DSCR: 1.20x
(1) A base leasing escrow reserve is funded at $119,135 per annum and a cash
flow leasing escrow is funded to the extent of excess cash flow after
payment of debt service, required reserves and operating expenses (to a
maximum of $630,864 per annum) subject to a maximum on both reserve
accounts of $4.25 million. The Blue Hills Borrower is entitled to a
release of funds from both reserves subject to meeting certain criteria,
including investment grade leases that extend three years beyond the ARD
and a DSCR for the Blue Hills Loan of at least 1.20x.
(2) The Blue Hills Borrower is required to make monthly payments into an
insurance escrow fund and quarterly payments into a tax escrow fund in an
amount sufficient to accumulate funds needed to pay (i) all taxes prior
to their respective due dates and (ii) insurance premiums prior to the
expiration thereof.
(3) Lease is triple net and has a five-year extension option at 90% of fair
market rental value.
(4) Bank Boston N.A. is rated A by DCR, A by Fitch, A2 by Moody's and A- by
S&P.
24
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
150 WILLIAM STREET
LOAN INFORMATION
PRINCIPAL BALANCE: ORIGINAL CUT-OFF DATE
----------- --------------
$30,000,000 $29,440,579
ORIGINATION DATE: May 15, 1998
INTEREST RATE: 7.175%
AMORTIZATION: 300 Months
ARD: June 11, 2008
ARD BALANCE: $24,133,242
HYPERAMORTIZATION: After the ARD, interest rate increases by
2.00% to 9.175% and all excess cash flow
is used to reduce outstanding principal
balance; the additional 2% interest is
deferred until principal balance is zero
MATURITY DATE: June 11, 2023
BORROWER (SPECIAL
PURPOSE ENTITY): 150 William Street Associates L.P.;
general partner is a single purpose,
bankruptcy remote entity, the board of
which contains an independent director;
a non-consolidation opinion was obtained
in connection with the origination
CALL PROTECTION: Two-year prepayment lockout from the
date of securitization with U.S. Treasury
defeasance thereafter until four months
prior to the ARD
CUT-OFF DATE
LOAN PER SQUARE FOOT: $62
Per SF
------
ONGOING RESERVES: TI & LC (per year): $480,000 $1.16
Real Estate Taxes &
Insurance Reserve(1): Yes
LOCKBOX: Springing
PROPERTY INFORMATION
SINGLE ASSET/PORTFOLIO: Single asset
PROPERTY TYPE: Office
LOCATION: New York, NY
YEAR BUILT/RENOVATED: 1927/1998
OCCUPANCY(2): 98%
COLLATERAL: One 19-story, 477,572 square
foot office property (with
ancillary retail space)
LEASE
MAJOR TENANTS NRSF % OF GLA EXPIRATION
- --------------------- --------- ---------- -----------
The City of
New York -
Children's
Services
Administration(3) 418,434 87.6% 09/30/08
The City of
New York -
Office of Court
Administration 15,000 3.1% 02/28/01
Strand II
Corp. 13,992 2.9% 08/31/06
SQUARE FOOTAGE (NRSF): 477,572
PROPERTY MANAGEMENT: Braun Management, Inc.
1998 NET OPERATING INCOME(4): $1,177,594
UNDERWRITTEN NET CASH FLOW: $3,102,994
APPRAISED VALUE: $40,700,000
CUT-OFF DATE LTV: 72.3%
ARD LTV: 59.3%
UNDERWRITTEN DSCR: 1.20x
(1) The 150 William Street Borrower is required to make monthly payments into
a tax and insurance escrow fund in an amount sufficient to accumulate
funds needed to pay (i) all taxes prior to their respective due dates and
(ii) insurance premiums prior to the expiration thereof.
(2) Based on August 1999 rent roll.
(3) The City of New York has an option to terminate its lease any time after
July 2003, upon 180 days notice. In order to terminate before the
expiration date of the lease, the City of New York must reimburse the 150
William Street Borrower for any unamortized cost of any related tenant
improvements incurred by the 150 William Street Borrower. By July 2003,
there is estimated to be approximately $1,840,000, and by the ARD there
is estimated to be approximately $4,200,000.
(4) The property underwent a $6,000,000 renovation during 1997 and 1998,
resulting in occupancy increasing from 44.5% in December 1997 to 98% in
August 1999.
25
<PAGE>
October 12, 1999
(212) 325-3507 (212) 761-2164
$1,187,129,449 (APPROXIMATE)
CREDIT SUISSE FIRST BOSTON MORTGAGE SECURITIES CORP.
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES
SERIES 1999 - C1
COLLATERAL SUMMARY
Run Date: 10/11/99 03.54.45
Cut-off Balance: 1,187,129,449
Date of Balances: 10/01/99
Loan Count: 153
Avg Balance: 7,759,016
Max Balance: 58,000,000
Min Balance: 234,627
Gross WAC: 8.041
Seasoning (Yrs): .55
Rem Term (Yrs): 9.90
- ------------------------------------------
Curr Gross Coupon Count Pct
- ----------------- ----- ---
6.00% - 6.99% 4 4.09
7.00% - 7.49% 16 12.00
7.50% - 7.99% 32 29.80
8.00% - 8.49% 64 34.21
8.50% - 8.99% 26 12.96
9.00% - 9.49% 9 6.42
9.50% - 9.99% 1 .27
10.00% - 10.99% 1 .25
Wtd Avg. Current Coupon 8.041
- ------------------------------------------
Curr Balance (000) Count Pct
- ------------------ ----- ---
$ 500 or less 14 .44
$ 500+ - 1,000 14 .91
$ 1,000+ - 2,000 18 1.99
$ 2,000+ - 3,000 20 4.25
$ 3,000+ - 4,000 17 5.16
$ 4,000+ - 5,000 9 3.46
$ 5,000+ - 7,500 13 6.48
$ 7,500+ - 10,000 11 8.23
$10,000+ - 15,000 13 13.53
$15,000+ - 20,000 9 13.32
$20,000+ - 30,000 8 18.23
$30,000+ - 40,000 5 15.09
$40,000+ - 50,000 1 4.04
$50,000+ - 75,000 1 4.89
Avg Curr Balance: $7,759,016
- ------------------------------------------
Top 3 Loans: 13.2
- ------------------------------------------
Top 10 Loans: 34.2
- ------------------------------------------
Orig Amort Term Count Pct
- --------------- ----- ---
7+ - 10 years 1 .25
10+ - 15 years 3 .86
15+ - 20 years 4 .67
20+ - 25 years 51 28.74
25+ - 30 years 92 67.72
30+ - 40 years 2 1.75
Wtd Avg. Orig Amort Term: 28.33
- ------------------------------------------
Seasoning Term Count Pct
- -------------- ----- ---
12 Mos or less 132 85.78
1+ - 2 years 19 13.88
2+ - 3 years 2 .34
Wtd Avg. Seas Term: .55
- ------------------------------------------
Remaining Term Count Pct
- -------------- ----- ---
5+ - 7 years 3 1.86
7+ - 10 years 141 89.85
10+ - 15 years 7 4.90
15+ - 20 years 2 3.39
Wtd Avg. Remaining Term 9.90
Antic Repay Term for Hyper Am
- ------------------------------------------
Loan Type Count Pct
- --------- ----- ---
Fixed Rate 153 100.00
- ------------------------------------------
Amort Type Count Pct
- ---------- ----- ---
Balloon 69 21.82
Full Am 4 1.11
Hyper Am 80 77.07
- ------------------------------------------
LTV Count Pct
- --- ----- ---
50.00% OR LESS 12 11.69
50.01% - 60.00 16 9.87
60.01% - 70.00 39 22.05
70.01% - 75.00 53 29.39
75.01% - 80.00 31 23.61
Credit Lease 2 3.70
Wtd Avg. LTV: 66.86
- ------------------------------------------
UW DSCR Count Pct
- ------- ----- ---
1.10x - 1.19 6 6.37
1.20x - 1.24 23 19.19
1.25x - 1.29 27 18.59
1.30x - 1.39 33 18.29
1.40x - 1.49 15 11.68
1.50x - 1.99 39 21.05
2.00x and over 8 1.44
Credit Lease 2 3.39
Wtd Avg. DSCR: 1.41
- ------------------------------------------
Universe Count Pct
- -------- ----- ---
CSFB 130 86.47
MS 23 13.53
- ------------------------------------------
Property Type Pr Cnt Pct
- ------------------ ------ ---
Office 33 29.94
Retail 42 20.71
Multifamily 51 15.06
Lodging 18 10.13
Industrial 16 6.56
Mixed Use 4 6.28
Cooperative 10 3.94
Credit Lease 11 3.39
Other 1 2.27
Self Storage 5 1.55
Mobile Home Park 1 .19
TOTAL 192 100.00
- ------------------------------------------
Location > 1% Pr Cnt Pct
- ------------- ------ ---
New York 22 21.21
California 48 18.09
Florida 11 8.66
Washington 6 5.69
Colorado 8 4.70
Massachusetts 6 4.64
Texas 13 3.66
Washington DC 2 3.45
Puerto Rico 1 3.27
New Jersey 8 3.15
Pennsylvania 3 2.81
Indiana 6 2.60
Missouri 4 2.52
Minnesota 2 1.95
Arizona 7 1.69
North Carolina 4 1.33
Illinois 5 1.31
Maryland 3 1.15
Georgia 4 1.05
- ------------------------------------------
- --------------------------------------------------------------------------------
Under no circumstances shall the information presented hereby constitute an
offer to sell or the solicitation of an offer to buy any security, nor shall
there be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or qualification
for an exemption from such registration under the securities laws of such
jurisdiction. You have requested that Credit Suisse First Boston Corporation
("CSFB") and Morgan Stanley & Co. Incorporated ("MS") provide to you
information in connection with your considering the purchase of certain
securities described herein. The attached information is being provided to you
for informative purposes only in response to your specific request. The
information contained herein has been compiled by CSFB and MS from sources that
CSFB and MS believe to be reasonably reliable. However, CSFB and MS make no
representation or warranty as to the accuracy or completeness of such
information and you must make your own determination as to whether the
information is appropriate and responsive to your request. Any investment
decision with respect to the securities described herein should be made solely
on the results of your own due diligence with respect to the securities
referred to herein and only upon your review of the prospectus and prospectus
supplement. This information may not be delivered by you to any other person
without CSFB's and MS's prior written consent. CSFB and MS may from time to
time perform investment banking services for or solicit investment banking
business from any company named in the information herein. CSFB and MS and/or
their employees may from time to time have a long or short position in any
security discussed herein.
- --------------------------------------------------------------------------------
26
