Aug. 17, 2009 (Business Wire) -- Fitch Ratings places 14 classes of Banc of America Commercial Mortgage Inc.'s (BACM) commercial mortgage pass-through certificates, series 2005-4 on Rating Watch Negative. A detailed list of rating actions follows at the end of this press release.

The Negative Watch is due to the expected transfer and recent transfer to special servicing of the largest and third largest loans in the transaction, Pacific Arts Plaza (7.2% of the pool) and Renaissance Baltimore Harborplace (6.9%).

The Pacific Arts Plaza loan is secured by an 825,061 square foot (sf) office property located in Costa Mesa, CA. Occupancy has declined significantly since issuance and the sponsor, Maguire Properties, L.P., has indicated that it will no longer continue to fund the cash shortfall associated with the mortgage.

The Renaissance Baltimore Harborplace loan is secured by a 622 room hotel located in Baltimore, MD. Revenue per available room (RevPAR) at the property has declined since issuance and the sponsor, Sunstone Hotel Investors, Inc., has indicated default may be imminent.

Fitch will resolve the Negative Watch status as more information becomes available, including workout strategies and valuations. As this transaction's performance is similar to recent vintages, Fitch's review will follow the surveillance methodology referenced in Fitch's amended criteria for analyzing recent vintage U.S. CMBS. This criteria can be found in the July 8, 2009 report, 'Surveillance Methodology for Recent Vintage U.S. CMBS', which is available on Fitch's web site at 'www.fitchratings.com'.

Fitch places the following classes on Rating Watch Negative:

--$97.1 million class A-J 'AAA';

--$31.7 million class B 'AA';

--$15.9 million class C 'AA-';

--$29.7 million class D 'A';

--$17.8 million class E 'A-';

--$19.8 million class F 'BBB+';

--$17.8 million class G 'BBB-';

--$23.8 million class H 'BB+';

--$7.9 million class J 'BB';

--$7.9 million class K 'B+';

--$7.9 million class L 'B';

--$4 million class M 'B-';

--$5.9 million class N 'CCC/RR1';

--$5.9 million class O 'CCC/RR2'.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, 'www.fitchratings.com'. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.