UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) October 15, 2004

Morgan Stanley Capital I Inc.
(Exact name of registrant as specified in its charter)

Delaware
(State or other jurisdiction
of incorporation)

333-104283-08
(Commission
File Number)

13-3291626
(IRS Employer
Identification No.)

1585 Broadway, New York, New York
(Address of principal executive offices)

10036
(Zip Code)

Registrant's telephone number, including area code 212-761-4000

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Section 8 - Other Events

Item 8.01. Other Events.

This current report on Form 8-K relates to the monthly distribution reported to the holders of Morgan Stanley Capital I Inc., Commercial Mortgage Pass-Through Certificates, Series 2004-IQ7, which was made on October 15, 2004.

Section 9 - Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits.

99.1 Monthly distribution report pursuant to Section 5.4 of the Pooling and Servicing Agreement for the distribution on October 15, 2004.

(Exhibit No. Description)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

LASALLE BANK NATIONAL ASSOCIATION IN ITS CAPACITY AS PAYING AGENT UNDER THE POOLING AND SERVICING AGREEMENT ON BEHALF OF MORGAN STANLEY CAPITAL I INC., REGISTRANT

By: /s/ Russell Goldenberg
Russell Goldenberg
Group Senior Vice President

Date: October 20, 2004

Morgan Stanley Capital I Inc.,

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Reporting Package Table of Contents

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Administrator:
Kathryn Hawkinson 312.904.6561
kathryn.hawkinson@abnamro.com

Analyst:
Clifford Song 714.259.6244
Clifford.Song@abnamro.com

Statement Date:

135 S. LaSalle Street, Suite 1625
Chicago, IL 60603
USA

Statements to Certificateholders
Cash Reconciliation Summary
Shortfall Summary Report
Bond Interest Reconciliation

Asset-Backed Facts ~ 15 Month Loan Status Summary

Asset-Backed Facts ~ 15 Month Loan Payoff/Loss Summary
Delinquent Loan Detail

Historical Collateral Prepayment
Loan Level Detail
Mortgage Loan Characteristics

Page 2-4
Page 5
Page 6
Page 7

Page 8

Page 9
Page 10

Page 11
Page 12-17

Page 18-20

Specially Serviced (Part I) - Loan Detail

Specially Serviced (Part II) - Servicer Comments
Modified Loan Detail
Realized Loss Detail

Appraisal Reduction Detail

Page 21

Page 22
Page 23
Page 24

Page 25

Page(s)

Information is available for this issue from the following sources

Issue Id:

Monthly Data File
Name:

MOR04IQ7

MOR04IQ7_200410_3.ZIP

Closing Date:

First Payment Date:

Rated Final Payment: Date:

27-May-04
15-Jun-04

15-Jun-38

Parties to The Transaction

Depositor: Morgan Stanley Capital I Inc.

Underwriter: Morgan Stanley & Co. Incorporated

Master Servicer: Wells Fargo Bank, National Association/Wells Fargo Bank, National Association

Special Servicer: Midland Loan Services, Inc./National Consumer Cooperative Bank

Rating Agency: Fitch Ratings/Standard & Poor's

NCB, FSB will act as Master Servicer with respect to the NCB, FSB Mortgage Loans and NCCB Mortgage Loan. National Consumer Cooperative Bank will act as special servicer with

respect to the residential coopertaive loans.

800.246.5761

LaSalle Factor Line

LaSalle Web Site

Servicer Web Site

www.ctslink.com

www.etrustee.net

Page 1 of 25

Class

CUSIP

Original

Opening

Principal

Negative

Closing

Interest

Pass-Through

Per $ 1000

Next Rate(3)

WAC:
WAMM:

Payment Date:
Prior Payment:
Next Payment:
Record Date:

5.522900%

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Morgan Stanley Capital I Inc.,

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

Face Value (1)

Balance

Payment

Adj. or Loss

Amortization

Balance

Payment (2)

Adjustment

Rate

115

REMIC III

Statement Date:

ABN AMRO Acct: 721823.1

957.884633488

11.313966977

0.000000000

946.570666512

3.216895930

Fixed

0.00

0.000000000

4.03000000%

0.000000000

61745MYX5

A-1

86,000,000.00

82,378,078.48

973,001.16

0.00

81,405,077.32

276,653.05

1000.000000000

0.000000000

1000.000000000

4.183333286

Fixed

0.00

0.000000000

5.02000000%

0.000000000

61745MYY3

A-2

70,000,000.00

0.00

70,000,000.00

292,833.33

1000.000000000

0.000000000

1000.000000000

4.458333396

5.350000000%

0.00

0.000000000

5.35000000%

0.000000000

61745MYZ0

A-3

53,000,000.00

0.00

53,000,000.00

236,291.67

1000.000000000

0.000000000

1000.000000000

4.528832627

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZA4

A-4

550,458,000.00

0.00

550,458,000.00

2,492,932.15

995.803205293

0.000000000

994.675768904

0.144080984

0.205101580%

0.00

0.000000000

0.17362585%

0.000000000

61745MZQ9/U6176PLH7

X-1

863,020,894.00

859,398,972.48

0.00

858,425,971.32

124,344.90

996.261021201

0.000000000

995.278714823

0.241519455

0.00

0.000000000

0.29091109%

0.000000000

61745MZR7

X-Y

73,082,891.00

72,809,635.62

0.00

72,737,845.83

17,650.94

1000.000000000

0.000000000

1000.000000000

4.528832698

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZB2

29,127,000.00

0.00

29,127,000.00

131,911.31

1000.000000000

0.000000000

1000.000000000

4.528832436

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZC0

22,654,000.00

0.00

22,654,000.00

102,596.17

1000.000000000

0.000000000

1000.000000000

4.528832938

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZD8

6,752,000.00

0.00

6,752,000.00

30,578.68

1000.000000000

0.000000000

1000.000000000

4.528832450

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZE6/U6176PLK0

9,430,000.00

0.00

9,430,000.00

42,706.89

1000.000000000

0.000000000

1000.000000000

4.528832036

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZF3/U6176PLL8

5,394,000.00

0.00

5,394,000.00

24,428.52

1000.000000000

0.000000000

1000.000000000

4.528831981

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZG1/U6176PLM6

4,315,000.00

0.00

4,315,000.00

19,541.91

1000.000000000

0.000000000

1000.000000000

4.528832036

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZH9/U6176PLN4

5,394,000.00

0.00

5,394,000.00

24,428.52

1000.000000000

0.000000000

1000.000000000

4.528831981

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZJ5/U6176PLP9

4,315,000.00

0.00

4,315,000.00

19,541.91

1000.000000000

0.000000000

1000.000000000

4.528831711

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZK2/U6176PLQ7

2,157,000.00

0.00

2,157,000.00

9,768.69

1000.000000000

0.000000000

1000.000000000

4.528832252

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZL0/U6176PLR5

2,158,000.00

0.00

2,158,000.00

9,773.22

Page 2 of 25

Notes: (1) N denotes notional balance not included in total (2) Accrued Interest Plus/Minus Interest Adjustment Minus Deferred Interest equals Interest Payment (3) Estimated. * Denotes Controlling Class

Class

CUSIP

Original

Opening

Principal

Negative

Closing

Interest

Pass-Through

Per $ 1000

Next Rate(3)

WAC:
WAMM:

Payment Date:
Prior Payment:
Next Payment:
Record Date:

5.522900%

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Morgan Stanley Capital I Inc.,

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

Face Value (1)

Balance

Payment

Adj. or Loss

Amortization

Balance

Payment (2)

Adjustment

Rate

115

REMIC III

Statement Date:

ABN AMRO Acct: 721823.1

1000.000000000

0.000000000

1000.000000000

4.528831711

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZM8/U6176PLS3

2,157,000.00

0.00

2,157,000.00

9,768.69

1000.000000000

0.000000000

1000.000000000

4.528832252

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZN6/U6176PLT1

2,158,000.00

0.00

2,158,000.00

9,773.22

1000.000000000

0.000000000

1000.000000000

4.528832105

5.572645258%

0.00

0.000000000

5.43459916%

0.000000000

61745MZP1/U6176PLU8

7,551,894.00

0.00

7,551,894.00

34,201.26

0.000000000

0.00

0.000000000

N/A

0.000000000

9ABSQ771

R-III

0.00

Total P&I Payment

0.00

863,020,894.00

859,398,972.48

4,882,726.19

Total

858,425,971.32

973,001.16

0.00

3,909,725.03

Page 3 of 25

Class

CUSIP

Original

Opening

Principal

Negative

Closing

Interest

Pass-Through

Per $ 1000

Next Rate(3)

WAC:
WAMM:

Payment Date:
Prior Payment:
Next Payment:
Record Date:

5.522900%

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Morgan Stanley Capital I Inc.,

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

Face Value (1)

Balance

Payment

Adj. or Loss

Amortization

Balance

Payment (2)

Adjustment

Rate

115

Grantor Trust

Statement Date:

ABN AMRO Acct: 721823.1

0.000000000

0.00

0.000000000

N/A

0.000000000

9ABSQ768

0.00

Total P&I Payment

0.00

Total

0.00

Page 4 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Statement Date:

Cash Reconciliation Summary

Current Scheduled Interest

Interest Summary

Less Deferred Interest

Plus Gross Advance Interest

Less PPIS Reducing Scheduled Int

3,379,094.55

0.00
0.00

Less ASER Interest Adv Reduction

0.00

Less Other Adjustment

0.00

Total

3,950,100.30

Unscheduled Interest:
Prepayment Penalties

0.00

Yield Maintenance Penalties

0.00

Other Interest Proceeds

0.00

Total

0.00

Less Fees & Expenses Paid By/To Servicer

Less Fee Paid To Servicer
Less Fee Strips Paid by Servicer

Special Servicing Fees

Interest Due Serv on Advances

Recoup of Prior Advances

Misc. Fees & Expenses

Total Unscheduled Fees & Expenses
Total Interest Due Trust

Less Fees & Expenses Paid By/To Trust
Trustee Fee
Fee Strips
Misc. Fees
Interest Reserve Withholding

Plus Interest Reserve Deposit
Total

Total Interest Due Certs

Principal Summary

Scheduled Principal:
Current Scheduled Principal
Advanced Scheduled Principal
Scheduled Principal
Unscheduled Principal:
Curtailments
Prepayments in Full
Liquidation Proceeds
Repurchase Proceeds
Other Principal Proceeds
Total Unscheduled Principal
Remittance Principal

Remittance P&I Due Trust

Remittance P&I Due Certs

Pool Balance Summary

Beginning Pool
Scheduled Principal
Unscheduled Principal
Deferred Interest
Liquidations
Repurchases

Ending Pool

Balance

Count

Principal

Interest

Prior Outstanding
Plus Current Period
Less Recovered

Ending Outstanding

Servicing Fee Summary

Current Servicing Fees
Plus Fees Advanced for PPIS
Less Reduction for PPIS
Plus Delinquent Servicing Fees

Total Servicing Fees

PPIS Summary

Gross PPIS
Reduced by PPIE
Reduced by Shortfalls in Fees
Reduced by Other Amounts

PPIS Reducing Scheduled
Interest

PPIS Reducing Servicing Fee
PPIS Due Certificate

0.00

0.00
0.00

0.00

3,911,515.47

)

(1,790.41

0.00
0.00
0.00

)

(1,790.41

865,071.54
107,929.62
973,001.16

0.00
0.00
0.00
0.00
0.00
0.00

973,001.16

4,884,516.63

4,882,726.21

859,398,972.97

129

973,001.16

0.00

0.00
0.00

0.00

858,425,971.81

129

169,901.75

813,724.14

107,929.62

571,005.75

107,929.62

571,005.75

38,584.83

0.00
0.00

5,211.68

43,796.51

0.00
0.00
0.00
0.00
0.00
0.00

0.00

Advance Summary (Advance Made by Servicer)

)

(38,584.83

3,909,725.05

Interest Not Advanced (

Current Period

)

0.00

571,005.75

Workout Fees
Liquidation Fees

0.00
0.00

Less Non Recovered

)

(813,724.14

)

(169,901.75

0.00

Page 5 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04
15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Interest Adjustments Summary

Statement Date:

0.00

Special Servicing Fees

Workout Fees

Liquidation Fees

Legal Fees

0.00

Misc. Fees & Expenses Paid by/to Servicer

Interest Paid to Servicer on Outstanding Advances

0.00

ASER Interest Advance Reduction

Interest Not Advanced (Current Period)

Recoup of Prior Advances by Servicer

0.00

Servicing Fees Paid Servicer on Loans Not Advanced

Misc. Fees & Expenses Paid by Trust

0.00

Shortfall Due to Rate Modification

Total Shortfall Allocated to the Bonds

Total Interest Adjustment to the Bonds

0.00

Shortfall Allocated to the Bonds:

Excess Allocated to the Bonds:

Other Interest Proceeds Due the Bonds

Yield Maintenance Penalties Due the Bonds

Prepayment Penalties Due the Bonds

Recovered ASER Interest Due the Bonds

Recovered Interest Due the Bonds

Less Total Shortfall Allocated to the Bonds

Total Excess Allocated to the Bonds

0.00

0.00

Total Excess Allocated to the Bonds

0.00

0.00

Aggregate Interest Adjustment Allocated to the Bonds

0.00

Prepayment Interest Excess Due the Bonds

0.00

ARD Excess Interest

0.00

Net Prepayment Int. Shortfalls Allocated to the Bonds

Other Interest Loss

Page 6 of 25

Morgan Stanley Capital I Inc.,

Class

Accrued

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Bond Interest Reconciliation

Deductions

Allocable

Deferred &

Prior

Prepay-

Other

Additions

Interest

Credit Support

Original

Current(4)

Accrual

Int. Short-

falls Due

ment

Interest

Interest (2)

Payment

Amount

PPIS

Interest

Certificate

Accretion

Interest

Loss/Exp

Interest

Penalties

Proceeds (1)

Interest

Shortfalls

Certificate

Rate

Pass

Thru

Method Days

Outstanding

Remaining

Statement Date:

Distributable

Current Period

(Shortfall)/

Recovery

Int Accrual

on Prior

Shortfall (3)

0.00

A-1

276,653.05

0.00

12.00%

12.06%

30/360

4.030000000%

0.00

A-2

292,833.33

0.00

12.00%

12.06%

30/360

5.020000000%

0.00

A-3

236,291.67

0.00

12.00%

12.06%

30/360

5.350000000%

0.00

A-4

2,492,932.15

0.00

12.00%

12.06%

30/360

5.434599157%

0.00

X-1

124,344.90

0.00

30/360

0.173625849%

0.00

X-Y

17,650.94

0.00

30/360

0.290911093%

0.00

131,911.31

0.00

8.63%

8.67%

30/360

5.434599157%

0.00

102,596.17

0.00

6.00%

6.03%

30/360

5.434599157%

0.00

30,578.68

0.00

5.22%

5.25%

30/360

5.434599157%

0.00

42,706.89

0.00

4.13%

4.15%

30/360

5.434599157%

0.00

24,428.52

0.00

3.50%

3.52%

30/360

5.434599157%

0.00

19,541.91

0.00

3.00%

3.02%

30/360

5.434599157%

0.00

24,428.52

0.00

2.38%

2.39%

30/360

5.434599157%

0.00

19,541.91

0.00

1.88%

1.89%

30/360

5.434599157%

0.00

9,768.69

0.00

1.63%

30/360

5.434599157%

0.00

9,773.22

0.00

1.38%

30/360

5.434599157%

0.00

9,768.69

0.00

1.13%

30/360

5.434599157%

0.00

9,773.22

0.00

0.88%

30/360

5.434599157%

0.00

34,201.26

0.00

0.00%

30/360

5.434599157%

0.00

30/360

0.000000000%

0.00

3,909,725.03

0.00

(2) Accrued - Deductions + Additions Interest

(3) Includes interest accrued on outstanding Interest Shortfalls and/or Loss Allocations. Where applicable.

Page 7 of 25

(1) Other Interest Proceeds are additional interest amounts specifically allocated to the bond(s) and used in determining the bonds Distributable Interest.

(4) Determined as follows: (A) the ending balance of all the classes less (B) the sum of (i) the ending balance of the class and (ii) the ending balance of all classes which are not subordinate to the class divided by (A).

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

Asset-Backed Facts ~ 15 Month Historical Loan Status Summary

Distribution

Date

Delinq 1 Month

Delinq 2 Months

Delinq 3+ Months

Foreclosure

REO

Modifications

Specially Serviced

Bankruptcy

# Balance

Delinquency Aging Categories

Special Event Categories (1)

Statement Date:

ABN AMRO Acct: 721823.1

0.00%

15-Oct-04

0.00%

15-Sep-04

0.00%

16-Aug-04

0.00%

15-Jul-04

0.00%

15-Jun-04

(1) Note: Modification, Specially Serviced & Bankruptcy Totals are Included in the Appropriate Delinquency Aging Category

Page 8 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Asset-Backed Facts ~ 15 Month Historical Payoff/Loss Summary

Distribution

Date

Ending Pool (1)

Payoffs(2)

Penalties

Appraisal Reduct. (2)

Liquidations (2)

Realized Losses (2)

Remaining Term

Curr Weighted Avg.

# Balance

# Amount

# Balance

# Amount

Life

Coupon Remit

Statement Date:

Amort

ABN AMRO Acct: 721823.1

Series 2004-IQ7

15-Oct-04

129

100.78%

858,425,972

99.47%

0.00%

115

336

5.52%

5.46%

15-Sep-04

129

100.78%

859,398,973

99.58%

0.00%

116

337

5.66%

5.59%

16-Aug-04

129

100.78%

860,292,145

99.68%

0.00%

117

338

5.66%

5.59%

15-Jul-04

129

100.78%

861,181,000

99.79%

0.00%

118

339

5.52%

5.46%

15-Jun-04

129

100.78%

862,140,971

99.90%

0.00%

119

339

5.66%

5.59%

(1) Percentage based on pool as of cutoff. (2) Percentage based on pool as of beginning of period.

Page 9 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Delinquent Loan Detail

Disclosure

Control #

Paid

Thru

Date

Current P&I

Advance

Outstanding

P&I

Advances**

Out. Property

Protection

Advances

Loan

Status

Code (1)

Special

Servicer

Transfer Date

Foreclosure

Date

Bankruptcy

Date

REO

Date

Statement Date:

1-Sep-04

273,836.50

0.00

1-Sep-04

107,041.88

0.00

1-Sep-04

46,796.74

0.00

1-Sep-04

33,390.27

0.00

1-Sep-04

29,617.54

0.00

1-Sep-04

22,663.46

0.00

1-Sep-04

22,921.86

0.00

1-Sep-04

15,190.22

0.00

1-Sep-04

18,623.81

0.00

1-Sep-04

16,416.17

0.00

1-Sep-04

11,658.08

0.00

5-Sep-04

12,363.54

0.00

1-Sep-04

8,771.89

0.00

1-Sep-04

9,184.37

0.00

1-Sep-04

8,701.54

0.00

1-Sep-04

6,500.00

0.00

100

1-Sep-04

6,998.10

0.00

102

1-Sep-04

6,033.28

0.00

108

1-Sep-04

4,395.34

0.00

110

1-Sep-04

6,776.69

0.00

111

1-Sep-04

3,380.78

0.00

115

1-Sep-04

2,306.43

0.00

119

1-Sep-04

1,575.04

0.00

123

1-Sep-04

1,702.77

0.00

124

1-Sep-04

968.83

0.00

127

1-Sep-04

1,120.24

0.00

128

678,935.37

Total

Page 10 of 25

A. In Grace Period

1. Delinq. 1 month

2. Delinq. 2 months

3. Delinquent 3 + months

4. Performing Matured Balloon

** Outstanding P&I Advances include the current period P&I Advances and may include Servicer and Trust Advances.

7. Foreclosure

9. REO

B. Late Payment but < 1 month delinq.

5. Non Performing Matured Balloon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Historical Collateral Level Prepayment Report

Disclosure

Control #

Payoff
Period

Initial

Balance

Type

Payoff

Amount

Penalty

Amount

Prepayment

Date

Maturity

Date

Property

Type

Geographic

Location

Statement Date:

Cumulative

Current

Page 11 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

5.09015%

11-Feb-14

MOR4IQNN

Retail

0.00

61,000,000

258,749

5.49673%

1-Apr-14

MOR4IQNN

Office

0.00

60,000,000

274,837

5.79430%

1-Apr-14

MOR4IQNN

Retail

0.00

52,576,888

330,189

5.67000%

8-Jan-14

MOR4IQNN

Retail

0.00

20,194,852

117,898

5.27000%

1-May-13

MOR4IQNN

Multifamily

0.00

26,673,094

149,430

4.73000%

1-Mar-14

MOR4IQNN

Office

0.00

21,814,893

114,497

5.42000%

1-Mar-14

MOR4IQNN

Retail

0.00

21,698,989

123,012

5.59000%

1-Aug-13

MOR4IQNN

Industrial

0.00

19,852,862

125,629

5.33000%

1-Nov-18

MOR4IQNN

Office

0.00

17,894,630

100,987

28-May-04

5.34000%

1-Mar-14

MOR4IQNN

Other

6.42

15,935,902

81,591

28-May-04

5.18000%

1-Apr-24

MOR4IQNN

Other

9.09

15,771,813

107,832

6.08000%

1-Aug-13

MOR4IQNN

Office

0.00

15,750,147

110,909

4.56000%

10-Jan-09

MOR4IQNN

Mixed use

0.00

14,080,384

72,712

5.33000%

10-May-14

MOR4IQNN

Retail

0.00

13,800,000

61,295

5.56000%

1-Apr-14

MOR4IQNN

Mixed use

0.00

13,541,601

78,368

5.60000%

1-Jul-10

MOR4IQNN

Mixed use

0.00

12,398,017

78,749

5.42000%

1-Mar-14

MOR4IQNN

Retail

0.00

12,260,157

69,503

5.56000%

1-Apr-14

MOR4IQNN

Mixed use

0.00

12,042,388

69,692

4.69900%

9-Jul-10

MOR4IQNN

Retail

0.00

11,856,368

62,644

5.43000%

10-May-14

MOR4IQNN

Retail

0.00

11,100,000

50,228

28-May-04

5.66000%

1-May-14

MOR04IQA

Other

3.52

9,972,222

52,670

5.38000%

5-May-14

MOR4IQNN

Retail

0.00

9,919,981

60,694

7.05000%

1-Aug-09

MOR4IQNN

Retail

0.00

9,814,109

76,677

Page 12 of 25

* NOI and DSCR, if available and reportable under the terms of the trust agreement, are based on information obtained from the related borrower, and no other party to the agreement shall be held liable for the accuracy or methodology used to

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

5.33000%

10-May-14

MOR4IQNN

Retail

0.00

9,750,000

43,306

5.58000%

1-Oct-13

MOR4IQNN

Industrial

0.00

8,500,000

39,525

5.50000%

1-Jun-10

MOR4IQNN

Office

0.00

8,241,767

51,952

28-May-04

5.70000%

1-Apr-14

MOR4IQNN

Retail

1.68

7,952,635

46,432

5.36000%

1-Apr-14

MOR4IQNN

Retail

0.00

7,914,280

44,527

4.90000%

1-May-11

MOR4IQNN

Retail

0.00

7,854,509

41,927

5.58000%

1-Feb-14

MOR4IQNN

Retail

0.00

7,735,257

44,680

5.55000%

1-Apr-14

MOR4IQNN

Mixed use

0.00

7,503,830

43,105

5.50000%

1-Jan-14

MOR4IQNN

Retail

0.00

7,392,918

46,057

6.03000%

2-Apr-14

MOR4IQNN

Office

0.00

7,359,250

44,510

5.96000%

1-Jan-14

MOR4IQNN

Industrial

0.00

7,301,359

47,498

28-May-04

6.00000%

1-Feb-14

MOR04IQB

Other

2.59

6,971,383

38,515

4.75000%

1-Sep-13

MOR4IQNN

Retail

0.00

6,850,000

27,115

5.50000%

1-Apr-14

MOR4IQNN

Retail

0.00

6,700,000

30,708

6.03000%

1-Sep-13

MOR4IQNN

Retail

0.00

6,340,664

38,495

5.98000%

1-Mar-14

MOR4IQNN

Retail

0.00

6,239,443

40,514

6.59000%

1-Sep-13

MOR4IQNN

Office

0.00

6,231,902

40,194

28-May-04

5.78000%

1-Oct-13

MOR04IQC

Other

2.23

6,221,635

37,208

5.65000%

1-Apr-14

MOR4IQNN

Retail

0.00

6,096,073

38,319

5.93000%

1-May-14

MOR4IQNN

Industrial

0.00

5,972,427

35,703

28-May-04

5.33000%

1-Apr-14

MOR4IQNN

Other

2.80

5,959,870

33,707

5.36000%

1-Apr-14

MOR4IQNN

Retail

0.00

5,944,782

36,345

8.00000%

1-Nov-15

MOR4IQNN

Retail

0.00

3,522,233

40,149

Page 13 of 25

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

7.12000%

1-Mar-17

MOR4IQNN

Retail

0.00

2,293,708

23,231

5.58000%

1-Apr-14

MOR4IQNN

Office

0.00

5,798,097

36,204

5.62000%

10-Jan-14

MOR4IQNN

Retail

0.00

5,532,669

32,147

28-May-04

5.30000%

1-Jan-14

MOR4IQNN

Other

10.99

5,469,459

33,664

5.25000%

1-Apr-14

MOR4IQNN

Multifamily

0.00

5,464,155

30,371

5.71000%

5-Jan-19

MOR4IQNN

Retail

0.00

5,322,186

45,555

5.56000%

1-Oct-13

MOR4IQNN

Mixed use

0.00

5,185,021

30,007

6.10000%

1-Apr-14

MOR4IQNN

Retail

0.00

5,157,764

33,822

5.51000%

1-May-14

MOR4IQNN

Retail

0.00

5,062,338

31,349

4.66000%

1-Feb-11

MOR4IQNN

Retail

0.00

5,006,895

26,070

28-May-04

5.37000%

1-Mar-14

MOR4IQNN

Other

9.71

5,000,000

22,375

5.32000%

1-Sep-13

MOR4IQNN

Industrial

0.00

4,893,154

30,169

5.52000%

1-May-14

MOR4IQNN

Retail

0.00

4,726,067

27,030

5.48000%

1-Apr-14

MOR4IQNN

Mixed use

0.00

4,571,445

26,061

4.77000%

1-Oct-18

MOR4IQNN

Retail

0.00

4,289,499

35,049

28-May-04

5.88000%

1-Mar-19

MOR04IQD

Other

10.50

4,304,579

27,709

5.43000%

1-Mar-14

MOR4IQNN

Multifamily

0.00

4,268,786

24,226

5.89000%

1-Jan-14

MOR4IQNN

Office

0.00

4,163,592

24,885

28-May-04

5.56000%

1-Apr-14

MOR04IQE

Other

7.78

3,973,723

22,862

5.80000%

1-May-14

MOR4IQNN

Mixed use

0.00

3,881,541

22,883

28-May-04

6.00000%

1-Apr-14

MOR4IQNN

Industrial

1.51

3,803,796

22,933

5.99000%

1-Jan-14

MOR4IQNN

Retail

0.00

3,584,759

42,113

7.00000%

1-Jun-18

MOR4IQNN

Retail

0.00

3,595,109

34,113

Page 14 of 25

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

5.83000%

5-Apr-14

MOR4IQNN

Retail

0.00

3,479,857

20,603

28-May-04

5.88000%

1-Feb-14

MOR04IQF

Other

11.14

3,485,224

18,966

28-May-04

5.68000%

1-Feb-14

MOR04IQG

Other

2.76

3,470,119

20,445

5.11000%

1-Nov-23

MOR4IQNN

Retail

0.00

3,405,523

23,312

28-May-04

5.42000%

1-May-14

MOR4IQNN

Other

3.06

3,182,061

18,009

5.06000%

1-Nov-23

MOR4IQNN

Retail

0.00

3,113,138

21,225

28-May-04

5.45000%

1-Apr-14

MOR4IQNN

Other

9.07

2,980,394

17,082

28-May-04

5.36000%

1-Jan-14

MOR4IQNN

Other

7.54

2,984,039

15,340

6.02000%

1-May-14

MOR4IQNN

Retail

0.00

2,868,153

20,798

4.60000%

1-Apr-11

MOR4IQNN

Retail

0.00

2,832,531

14,610

28-May-04

5.23000%

1-Jan-14

MOR4IQNN

Other

6.56

2,610,539

13,188

28-May-04

5.70000%

1-Mar-14

MOR04IQH

Other

8.74

2,600,000

12,350

28-May-04

6.00000%

1-Apr-24

MOR04IQI

Other

4.45

2,566,359

18,752

28-May-04

6.14000%

1-Dec-23

MOR04IQJ

Other

2.96

2,543,363

18,838

5.64000%

1-Apr-14

MOR4IQNN

Industrial

0.00

2,483,820

14,415

28-May-04

5.89000%

1-Jan-14

MOR4IQNN

Multifamily

2.01

2,369,258

15,302

5.64000%

1-Mar-13

MOR4IQNN

Industrial

0.00

2,292,553

16,700

28-May-04

5.70000%

1-Mar-14

MOR04IQK

Other

3.28

2,192,056

11,768

5.98000%

5-Mar-14

MOR4IQNN

Retail

0.00

2,085,089

12,564

28-May-04

5.55000%

1-Jan-14

MOR04IQL

Other

9.15

2,089,088

10,903

28-May-04

5.32000%

1-Apr-14

MOR4IQNN

Other

18.94

2,000,000

8,867

28-May-04

6.35000%

1-Apr-24

MOR04IQM

Other

8.21

1,974,756

14,735

5.80000%

1-Nov-13

MOR4IQNN

Office

0.00

1,862,557

22,004

Page 15 of 25

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

6.50000%

1-May-13

MOR4IQNN

Industrial

0.00

1,823,433

11,693

28-May-04

6.11000%

1-Dec-13

MOR04IQN

Other

4.23

1,741,273

9,763

28-May-04

5.58000%

1-Nov-13

MOR04IQO

Other

8.01

1,738,922

9,121

28-May-04

5.50000%

1-Mar-14

MOR4IQNN

Other

6.42

1,693,495

8,857

28-May-04

5.60000%

1-Mar-14

MOR04IQP

Other

7.60

1,588,250

9,264

28-May-04

5.98000%

1-Nov-13

MOR04IQQ

Other

3.81

1,590,890

8,781

28-May-04

5.56000%

1-May-14

MOR04IQR

Other

63.97

1,496,023

7,877

28-May-04

5.26000%

1-Apr-14

MOR4IQNN

Other

44.52

1,500,000

6,575

100

28-May-04

5.46000%

1-Mar-14

MOR4IQNN

Other

8.17

1,493,821

7,696

101

28-May-04

5.74000%

1-Feb-14

MOR04IQS

Other

5.33

1,345,705

7,065

102

28-May-04

5.81000%

1-Apr-14

MOR04IQT

Other

2.39

1,295,827

6,981

103

28-May-04

5.47000%

1-Mar-14

MOR4IQNN

Other

9.88

1,294,982

6,746

104

28-May-04

5.41000%

1-Apr-14

MOR4IQNN

Other

17.29

996,576

5,148

105

28-May-04

5.38000%

1-Apr-14

MOR4IQNN

Other

9.59

996,547

5,127

106

28-May-04

6.15000%

1-Mar-19

MOR04IQU

Other

12.05

946,745

5,327

107

28-May-04

5.93000%

1-Feb-14

MOR04IQV

Other

13.70

938,721

6,080

108

28-May-04

5.65000%

1-Dec-13

MOR04IQW

Other

5.54

895,152

4,783

109

28-May-04

6.06000%

1-Mar-19

MOR04IQX

Other

6.26

797,191

4,435

110

28-May-04

6.15000%

1-Mar-19

MOR04IQY

Other

11.72

780,694

6,816

111

28-May-04

5.56000%

1-Jan-14

MOR04IQZ

Other

6.64

762,497

4,439

112

28-May-04

5.56000%

1-Feb-14

MOR4IQAA

Other

16.42

743,400

4,287

113

28-May-04

5.74000%

1-Apr-14

MOR4IQBB

Other

10.43

697,710

3,725

114

28-May-04

6.26000%

1-Jan-19

MOR4IQCC

Other

17.66

597,421

3,411

115

Page 16 of 25

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Loan Level Detail

Disclosure

Control #

Group

Property

Type

Maturity

Date

PFY

DSCR

Operating
Statement

Date

Geo.

Location

Ending

Principal

Balance

Note
Rate

Scheduled

P&I

Prepayment

Amount

Prepayment

Date

Loan

Status

Code (1)

Statement Date:

There are 128 loans in the Morgan Stanley IQ7 pool. However, Alamo Quarry (Loan #4) contains two notes and is therefore reported as two loans, 4 and 4A.

8.87500%

1-Jan-09

MOR4IQNN

Retail

0.00

544,346

12,932

116

28-May-04

5.92000%

1-Apr-14

MOR4IQDD

Other

25.82

497,018

2,998

117

28-May-04

5.34000%

1-Feb-14

MOR4IQNN

Other

47.32

495,453

2,812

118

28-May-04

5.45000%

1-Feb-14

MOR4IQNN

Other

5.36

447,888

2,329

119

28-May-04

6.21000%

1-Jan-14

MOR4IQEE

Other

4.93

337,013

2,085

120

28-May-04

6.48000%

1-Feb-14

MOR4IQFF

Other

7.98

297,780

1,892

121

28-May-04

6.02000%

1-Jan-14

MOR4IQGG

Other

12.44

294,121

2,167

122

28-May-04

6.87000%

1-Dec-23

MOR4IQHH

Other

4.65

200,977

1,585

123

28-May-04

7.04000%

1-Jan-19

MOR4IQII

Other

8.19

184,496

1,712

124

28-May-04

6.68000%

1-Apr-24

MOR4IQJJ

Other

9.46

172,875

1,323

125

28-May-04

6.43000%

1-Dec-13

MOR4IQKK

Other

5.52

164,388

1,989

126

28-May-04

6.82000%

1-Jan-14

MOR4IQLL

Other

9.86

146,871

976

127

28-May-04

7.04000%

1-Jan-19

MOR4IQMM

Other

7.91

121,379

1,126

128

5.67000%

8-Jan-14

MOR4IQNN

Retail

0.00

19,441,756

113,502

4 A

858,425,972

4,928,313

Page 17 of 25

determine such figures.

(1) Legend:

A. In Grace Period

B. Late Payment but < 1 month delinq

1. Delinquent 1 month
2. Delinquent 2 months

3. Delinquent 3+ months

4. Performing Matured Balloon

7. Foreclosure

9. REO

5. Non Performing Matured Ballon

Morgan Stanley Capital I Inc.,

Mortgage Loan Characteristics

ABN AMRO Acct: 721823.1

Series 2004-IQ7

Commercial Mortgage Pass-Through Certificates

30-Sep-04

15-Nov-04

15-Sep-04

15-Oct-04

Record Date:

Next Payment:

Prior Payment:

Payment Date:

Statement Date:

Distribution of Mortgage Interest Rates

Distribution of Principal Balances

Distribution of Remaining Term (Balloon)

Distribution of Remaining Term (Fully Amortizing)

Page 18 of 25

Current Scheduled

Balance

# of

Loans

Scheduled

Balance

% of

Balance

Weighted Average

Term Coupon PFY DSCR

990,985

0.12

175

6.81

7.46

0 to

250,000

2,369,273

0.28

112

5.83

19.57

250,000 to

500,000

2,582,877

0.30

113

6.48

11.63

500,000 to

750,000

7,114,122

0.83

134

5.77

10.57

750,000 to

1,000,000

8,426,358

0.98

114

5.54

23.47

1,000,000 to

1,500,000

16,013,576

1.87

125

5.86

6.52

1,500,000 to

2,000,000

15,805,572

1.84

116

5.93

1.97

2,000,000 to

2,500,000

21,985,378

2.56

136

5.55

4.93

2,500,000 to

3,000,000

20,135,922

2.35

151

5.51

2.89

3,000,000 to

3,500,000

22,361,160

2.60

125

6.36

1.64

3,500,000 to

4,000,000

17,026,457

1.98

142

5.49

2.65

4,000,000 to

4,500,000

19,190,667

2.24

112

5.42

2.53

4,500,000 to

5,000,000

65,875,665

7.67

115

5.50

1.17

5,000,000 to

6,000,000

51,651,100

6.02

110

5.77

0.62

6,000,000 to

7,000,000

77,755,804

9.06

104

5.56

0.17

7,000,000 to

9,000,000

39,456,312

4.60

101

5.85

0.89

9,000,000 to 11,000,000

59,656,931

6.95

5.34

0.00

11,000,000 to 13,000,000

88,879,847

10.35

124

5.35

2.76

13,000,000 to 17,000,000

77,384,100

9.01

123

5.57

0.00

17,000,000 to 21,000,000

243,763,865

28.40

112

5.36

0.00

21,000,000 &

Above

61,000,000

121,379

858,425,972

129

100.00%

Average Schedule Balance
Maximum Schedule Balance
Minimum Schedule Balance

6,654,465

Current Mortgage

Interest Rate

# of

Loans

Scheduled

Balance

% of

Balance

Weighted Average

Term Coupon PFY DSCR

0.00

0.000%

0.300%

0.00

4.001%

4.300%

16,912,915

1.97

4.57

0.00

4.301%

4.600%

57,672,165

6.72

4.75

0.00

4.601%

4.900%

83,290,474

9.70

144

5.11

1.72

4.901%

5.200%

293,529,164

34.19

115

5.40

1.69

5.201%

5.500%

269,769,513

31.43

111

5.66

1.15

5.501%

5.800%

99,216,870

11.56

118

5.99

1.69

5.801%

6.100%

8,921,265

1.04

188

6.19

7.16

6.101%

6.400%

8,690,379

1.01

109

6.57

0.57

6.401%

6.700%

3,942,956

0.46

165

6.99

0.60

6.701%

7.000%

12,413,692

1.45

7.06

0.20

7.001%

7.300%

0.00

7.301%

7.600%

0.00

7.601%

7.900%

4,066,579

0.47

121

8.12

0.00

7.901%

Above

129

858,425,972

Minimum Mortgage Interest Rate
Maximum Mortgage Interest Rate

100.00%

4.560%
8.875%

Fully Amortizing

Mortgage Loans

# of

Loans

Scheduled

Balance

% of

Balance

Weighted Average

Term Coupon PFY DSCR

0.00

120

0.00

121

180

0.00

181

240

0.00

241

Above

0.00%

Balloon

Mortgage Loans

# of

Loans

Scheduled

Balance

% of

Balance

Weighted Average

Term Coupon PFY DSCR

0.00

24,438,838

2.85

5.66

0.00

105

759,588,459

88.49

109

5.50

1.22

120

44,649,870

5.20

165

5.88

1.88

121

180

29,748,804

3.47

233

5.41

6.09

181

240

0.00

241

& Above

234

129

858,425,972

Minimum Remaining Term

Maximum Remaining Term

100.00

Morgan Stanley Capital I Inc.,

Mortgage Loan Characteristics

ABN AMRO Acct: 721823.1

Series 2004-IQ7

Commercial Mortgage Pass-Through Certificates

30-Sep-04

15-Nov-04

15-Sep-04

15-Oct-04

Record Date:

Next Payment:

Prior Payment:

Payment Date:

Statement Date:

Geographic Distribution

Distribution of DSCR (PFY)

Distribution of DSCR (Cutoff)

Page 19 of 25

Debt Service

Coverage Ratio

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

0.00

Less than zero

0.00

0.001 0.750

0.00

0.751 0.875

0.00

0.876 1.000

0.00

1.001 1.125

0.00

1.126 1.250

0.00

1.251 1.375

0.00

1.376 1.500

3,803,796

0.44

114

6.00

1.51

1.501 1.625

7,952,635

0.93

114

5.70

1.68

1.626 1.750

0.00

1.751 1.875

0.00

1.876 2.000

2,369,258

0.28

111

5.89

2.01

2.001 2.125

6,221,635

0.72

108

5.78

2.23

2.126 2.250

0.00

2.251 & Above

125

838,078,648

97.63

115

5.52

0.00

Unknown

63.970

1.510

129

858,425,972

100.00%

Minimum DSCR

Maximum DSCR

Debt Service

Coverage Ratio

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

0.00

Less than zero

0.00

0.001 0.750

0.00

0.751 0.875

0.00

0.876 1.000

12,398,017

1.44

5.60

0.00

1.001 1.125

28,965,414

3.37

117

5.89

0.00

1.126 1.250

115,986,326

13.51

106

5.58

0.00

1.251 1.375

113,340,100

13.20

118

5.83

0.21

1.376 1.500

52,570,035

6.12

114

5.55

0.00

1.501 1.625

122,326,635

14.25

112

5.61

0.00

1.626 1.750

39,201,514

4.57

100

5.24

0.00

1.751 1.875

44,796,896

5.22

108

5.34

0.00

1.876 2.000

23,300,000

2.71

112

5.21

0.00

2.001 2.125

77,141,616

8.99

112

5.18

0.18

2.126 2.250

0.00

2.251 & Above

228,399,418

26.61

127

5.47

0.00

Unknown

63.970

1.060

129

858,425,972 100.00

Minimum DSCR

Maximum DSCR

Geographic

Location

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

New York

308,790,001

35.97

123

5.51

3.75

California

134,019,286

15.61

111

5.43

0.04

Pennsylvania

58,274,964

6.79

120

5.75

0.00

Florida

45,760,373

5.33

4.98

0.00

Texas

44,794,372

5.22

111

5.72

0.00

Georgia

26,246,394

3.06

5.74

0.00

Maryland

24,509,217

2.86

6.31

0.00

New Jersey

21,708,269

2.53

100

5.29

0.33

Nebraska

20,727,161

2.41

157

5.23

0.00

Virginia

19,864,650

2.31

121

6.26

0.67

Delaware

18,693,154

2.18

113

5.33

0.00

Illinois

17,144,508

2.00

112

5.65

0.00

Kentucky

14,039,499

1.64

131

5.16

0.00

Ohio

13,550,000

1.58

110

5.12

0.00

Arizona

13,263,647

1.55

110

6.25

0.00

Idaho

11,856,368

1.38

4.70

0.00

Indiana

11,499,039

1.34

113

5.56

0.00

South Carolina

9,919,981

1.16

115

5.38

0.00

Washington

8,241,767

0.96

5.50

0.00

Nevada

7,503,830

0.87

114

5.55

0.00

Minnesota

6,239,443

0.73

113

5.98

0.00

Massachusetts

5,798,097

0.68

114

5.58

0.00

Wisconsin

5,322,186

0.62

171

5.71

0.00

Connecticut

3,881,541

0.45

115

5.80

0.00

Missouri

3,113,138

0.36

229

5.06

0.00

Alaska

2,369,258

0.28

111

5.89

2.01

Michigan

1,295,827

0.15

114

5.81

2.39

100.00

858,425,972

129

Morgan Stanley Capital I Inc.,

Mortgage Loan Characteristics

ABN AMRO Acct: 721823.1

Series 2004-IQ7

Commercial Mortgage Pass-Through Certificates

30-Sep-04

15-Nov-04

15-Sep-04

15-Oct-04

Record Date:

Next Payment:

Prior Payment:

Payment Date:

Statement Date:

Distribution of Loan Seasoning

Distribution of Property Types

Distribution of Year Loans Maturing

Distribution of Amortization Type

Page 20 of 25

Property Types

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

Retail

396,855,528

46.23

113

5.52

0.03

Office

149,116,835

17.37

117

5.52

0.00

Other

143,550,685

16.72

135

5.58

8.14

Mixed use

73,204,227

8.53

5.38

0.00

Industrial

56,923,404

6.63

109

5.71

0.10

Multifamily

38,775,293

4.52

106

5.32

0.12

858,425,972

129

100.00%

Amortization Type

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

AmortizingBalloon

129

858,425,972

100.00

115

5.52

1.39

858,425,972

129

100.00%

Number of Months

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

114

749,094,629

87.26

118

1.57

5.46

91,855,546

10.70

0.15

5.68

0.00

9,814,109

1.14

0.00

7.05

3,595,109

0.42

164

0.00

7.00

3,522,233

0.41

132

0.00

8.00

0.00

108

0.00

109

120

544,346

0.06

0.00

8.88

121

129

858,425,972

100.00%

Year

# of

Loans

Scheduled

Balance

% of

Balance

WAMM WAC PFY DSCR

0.00

2004

0.00

2005

0.00

2006

0.00

2007

0.00

2008

24,438,838

2.85

5.66

0.00

2009

32,496,152

3.79

5.25

0.00

2010

15,693,935

1.83

4.77

0.00

2011

0.00

2012

118,607,646

13.82

106

5.64

0.40

2013

592,790,726

69.06

113

5.51

1.48

2014

74,398,675

8.67

192

5.69

3.56

2015 & Greater

100.00

858,425,972

129

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Specially Serviced (Part I) ~ Loan Detail (End of Period)

Disclosure

Control #

Servicing

Xfer Date

Balance

Note
Rate

Maturity

Date

Remaining

Property

Type

Geo.

Location

NOI

DSCR

NOI
Date

Schedule

Actual

Life

Statement Date:

Loan

Status

Code(1)

Page 21 of 25

(1) Legend:

A. P&I Adv - in Grace Period
B. P&I Adv - < one month delinq

1. P&I Adv - delinquent 1 month
2. P&I Adv - delinquent 2 months

3. P&I Adv - delinquent 3+ months
4. Mat. Balloon/Assumed P&I

7. Foreclosure

9. REO

5. Non Performing Mat. Balloon

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04
15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Specially Serviced Loan Detail (Part II) ~ Servicer Comments (End of Period)

Disclosure

Control #

Resolution

Strategy

Comments

Statement Date:

Page 22 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Modified Loan Detail

Disclosure

Control #

Modification

Date

Cutoff

Maturity

Date

Modification

Description

Modified

Maturity

Date

Statement Date:

Page 23 of 25

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Realized Loss Detail

Period

Disclosure

Control #

Appraisal

Date

Appraisal

Value

Beginning
Scheduled

Balance

Gross

Proceeds

Gross Proceeds

as a % of

Sched. Balance

Aggregate

Liquidation

Expenses *

Net

Liquidation

Proceeds

Net Proceeds

as a % of

Sched. Balance

Realized

Loss

Statement Date:

Current Total
Cumulative

Page 24 of 25

* Aggregate liquidation expenses also include outstanding P&I advances and unpaid servicing fees, unpaid trustee fees, etc..

Morgan Stanley Capital I Inc.,

Payment Date:
Prior Payment:
Next Payment:
Record Date:

15-Oct-04
15-Oct-04

15-Sep-04

15-Nov-04

30-Sep-04

Commercial Mortgage Pass-Through Certificates

Series 2004-IQ7

ABN AMRO Acct: 721823.1

Appraisal Reduction Detail

Disclosure

Control#

Appraisal
Red. Date

Scheduled

Balance

ASER

Note
Rate

Maturity

Date

Property

Type

Geographic

Location

Appraisal

Value Date

DSCR

Statement Date:

Remaining Term

Life

ARA

Amount

Current P&I

Advance

Page 25 of 25

Morgan Stanley Capital I Trust 2004 IQ7 8-K