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Return to Lender: Week of Dec. 21, 2023
- Monday Properties has restructured its debt on Nestle’s U.S. headquarters at 1812 N. Moore St. in Rosslyn, VA and averted a scheduled foreclosure auction. The Washington Business Journal reported that mezzanine lender RBC Real Estate Capital Corp. had hired Eastdil Secured to facilitate a public auction for the equity in 1812 Holdings LLC, a Monday Properties affiliate that owns the Rosslyn building. The offering was made as a UCC foreclosure.
- Also in the Washington, DC area, the struggling Portals I building near the D.C. waterfront has changed owners, reported the Washington Business Journal. An affiliate of London private equity firm Henderson Park has acquired the 536,206-square-foot office building at 1250-1280 Maryland Ave. SW. The seller was LNR Partners LLC. A Henderson Park spokesperson said the company paid about $26 million for the asset. The building’s assessed value for 2024 is about $154.9 million, compared to $210.1 million in 2021.
- Savanna has averted foreclosure by handing over 1825 Park Ave., a Harlem office property also known as the Lee Building, according to published reports. Lender TPG Real Estate Finance took possession in a property transfer valued at $56.2 million.
- The Landing, a two-building office center on Hegenberger Road in Oakland, CA, is in default on its mortgage, reported the Mercury News. Walnut Creek-based Vertical Ventures defaulted on the $37.2-million loan, which it obtained from Arc Lender in 2019. At the time of the default, an estimated $33.7 million was owed on the delinquent mortgage, including principal, interest, late payments and penalties.
- A neighboring tire repair center and office building in Pinecrest, FL have been named in related foreclosure lawsuits seeking a combined $3.29 million, reported the South Florida Business Journal. These are the third and fourth pending foreclosure lawsuits over related borrowers at Kendall Executive Center, a two-story commercial complex built in 1981 that has 11 parcels.
- Coastland Center’s $98.7-million CMBS loan has been modified, pushing the maturity date to May 2025, Morningstar. The loan transferred to special servicing last year ahead of the loan’s initial November 2022 maturity. The regional mall in Naples, FL was last appraised for $74.6 million in July, down 68% from the issuance value of $233.0 million.
- An updated appraisal has valued 15 Metrotech, which backs $169.9 million of MSBAM 2013-C12 & COMM 2013-LC1, at $160.8 million, a 41% reduction from the $273.0 million appraised value at issuance, according to Morningstar. The loan transferred to special servicing ahead of its September 2023 maturity. Occupancy at the mixed-use Brooklyn property has remained low since the largest tenant vacated and was last reported at 75% in June 2023, down from 97% at issuance.
- ◦Financing
