[November 26, 2014]

Fitch Affirms Unison Ground Lease Funding Series 2013-1 and 2013-2

Fitch Ratings has affirmed Unison (News - Alert) Ground Lease Funding, LLC Secured Cellular Site Revenue Notes, series 2013-1 and 2013-2 as follows:

--$98,000,000 class 2013-1 A at 'Asf'; Outlook Stable;

--$31,000,000 class 2013-1 B at 'BB-sf'; Outlook Stable;

--$13,600,000 class 2013-2 A at 'Asf'; Outlook Stable;

--$4,400,000 class 2013-2 B at 'BB-sf'; Outlook Stable.

KEY RATING DRIVERS

The affirmations are due to stable performance and continued cash flow growth since issuance. The Stable Outlooks reflect the limited prospect for upgrades given the provision to issue additional notes.

RATING SENSITIVITIES

The classes are expected to remain stable based on continued cash flow growth due to annual rent escalations and automatic renewal clauses resulting in higher debt service coverage ratios since issuance. The ratings have been capped at 'A' due to the specialized nature of the collateral and the potential for changes in technology to affect long-term demand for wireless tower space.

The certificates represent beneficial ownership interest in the trust, primary assets of which are 1,056 cellular sites securing one fixed-rate loan. As of the November 2014 distribution date, the aggregate principal balance of the notes remains unchanged at $147 million since issuance. The notes are interest only for the entire seven-year period.

The ownership interest in the cellular sites consists of perpetual easements, long-term easements, prepaid leases, and fee interests in land, rooftops, or other structures on which site space is allocated for placement of tower and wireless communication equipment. Thus, unlike typical cell tower securitizations in which the towers serve as collateral, the collateral for this securitization generally consists of easements and the revenue stream from the payments the owner of the tower and/or tenants of the site pay to Unison.

As part of its review, Fitch analyzed the collateral data and site information provided by the master servicer, Midland Loan Services. As of Nov. 15, 2014, aggregate net cash flow increased 4.2% since issuance to $18.4 million. The Fitch stressed debt service coverage ratio (DSCR) increased from 1.24x at issuance to 1.31x as a result of the increase in net cash flow.

The ownership interests in the sites consist of 48.8% of revenue in perpetual easements and 47.7% in limited term easements. The limited term easements are generally long term with an average remaining term in xcess of 30 years.

Additional information on Fitch's criteria for analyzing U.S. Wireless Tower Transactions is available in the Nov. 19, 2014 report, 'Criteria for Analyzing U.S. Wireless Tower Transactions,' which is available at 'www.fitchratings.com' under the following headers:

Structured Finance >> CMBS >> Criteria Reports

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'Global Structured Finance Rating Criteria' (Aug. 4, 2014);

--'Criteria for Analyzing U.S. Wireless Tower Transactions' (Nov. 19, 2014);

--'Criteria for Analyzing Large Loans in U.S. Commercial Mortgage Transactions' (Sept. 19, 2014).

Applicable Criteria and Related Research:

Global Structured Finance Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=754389

Criteria for Analyzing U.S. Wireless Tower Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=810908

Criteria for Analyzing Large Loans in U.S. Commercial Mortgage Transactions

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=772328

Additional Disclosure

Solicitation Status

http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=935835

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON (News - Alert) THE AGENCY'S PUBLIC WEBSITE '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. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

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