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Return to Lender: Week of March 14, 2024
- St. Louis-based Midas Hospitality acquired a nearly finished hotel development at 291 Livingston St. in Downtown Brooklyn for $34.8 million out of bankruptcy from developers Hello Living and Abraham Leifer’s Aview Equities, according to published reports. The 22-story, 100-key hotel apparently entered bankruptcy in 2023 without being completed. Lender Acres Capital had sued to foreclose on the hotel in 2022, alleging that Aview had defaulted on a $30-million construction loan. Private equity firm Cingulate Group also sued Leifer over an unpaid $3.5-million mezzanine loan on the hotel last year.
- The longtime operators of a West Seneca, NY assisted living facility plan to purchase the property after a credit union foreclosed on the previous ownership group, reportedly Buffalo Business First. Premier Senior Living (PSL) is under contract to purchase Eden Heights of West Seneca, located at 3030 Clinton St., from Broadview Federal Credit Union, which purchased the property out of foreclosure for $8.3 million. PSL has leased and managed the property since 2009, the same year the facility was purchased by a group of companies led by Nelson Bros. LLC.
- Southfield Town Center ($70.7 million | 11.7% of COMM 2014-UBS3, 10.7% of COMM 2014-CR18) has been transferred to special servicing ahead of its May 2024 maturity, according to Morningstar Credit. The suburban Detroit office property reported a 2023 net cash flow that exceeded issuance underwriting by 8% and there is no notable upcoming rollover. The transfer comes after November servicer commentary noted that a defeasance quote had been issued.
- The $69.29-million loan against a 536,000-square-foot office property at 200 W. Monroe St. in Chicago has defaulted and transferred to the special servicer, Trepp reported. The property is owned by Accesso Partners of Hallandale Beach, FL, which had acquired it in 2014. The loan, which pays a 4.67% coupon, matures in June. The property last year was 68% occupied and had generated less than $1 million of net cash flow, compared to the $5.1 million it generated in 2014 and not enough to service the loan, which is held by a pair of CMBS trusts.
- Clinton Square, an office property in Rochester, NY ($26.4 million | 3.98% of COMM 2014-CCRE19 | CMBX.8), has transferred to special servicing, reported Morningstar Credit. The transfer occurred after the largest tenant, law firm Nixon Peabody, gave notice that it would not renew its lease, which is set to expire in July 2025. The servicer comments note that the tenant is expected to vacate its 144,982-square-foot space (47% of GLA), by August 2024, the same month the loan is scheduled to mature.
- ◦Sale/Acquisition
- ◦Financing
