KBRA Assigns Preliminary Ratings to TierPoint Series 2024-1

KBRA assigns ratings to the Series 2024-1 Class B Notes (TierPoint 2024-1) issued by TierPoint Issuer, LLC and TierPoint Co-Issuer, LLC (the Co-Issuers), a data center ABS transaction. In addition to the issuance of the Series 2024-1, Class B Notes, the Series 2023-2, Class A-2 Notes will be upsized from $475 million to $900 million.

TierPoint 2024-1 represents the third series of notes issued by TierPoint Issuer, LLC and TierPoint Co-Issuer, LLC. All series share in the same collateral pool. No additional collateral will be added in connection with the issuance of TierPoint 2024-1. KBRA’s rating analysis incorporates all prior debt issuance of the Co-Issuers. KBRA anticipates affirming the ratings of the Series 2023-1/2 Notes with the issuance of TierPoint 2024-1.

TierPoint, LLC serves as the manager for the trust. The Notes are secured by 31 data centers generating approximately $407.7 million of Total Annualized Monthly Recurring Revenue (AMRR) and approximately $206.3 million of Annualized Adjusted Net Operating Income (AANOI) as of December 2023 (the Statistical Disclosure Date). This includes fee simple ownership interests in nine multi-customer enterprise data centers (37.7% of AANOI) located in eight markets and leasehold interests in 22 multi-customer enterprise data centers (62.3% of AANOI) located in 19 markets. The 31 data centers are comprised of approximately 703,893 square feet (sf) of data center space and can provide approximately 64.6 megawatts (MW) of critical load power to customers.

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Methodologies

• ABS: General Global Rating Methodology for Asset Backed Securities
• CMBS: U.S. CMBS Property Evaluation Methodology
• CMBS: U.S. CMBS Single Borrower & Large Loan Rating Methodology
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1004033

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