National CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Return to Lender: Week of May 1, 2025
- 400 South Tryon, a distressed uptown Charlotte tower, has changed hands after its lenders foreclosed on the property and then took it back in a public auction earlier this month. The Charlotte Business Journal reported that the $36-million bid came from lenders Citizens Bank and Synovus Bank as 400 South Tryon LP. The banks foreclosed on the property in December 2024 after filing a lawsuit against Oaktree Capital Group and Trinity Capital Advisors. The 32-story, 587,000-square-foot office tower carries a value of $115.3 million in the county’s latest property assessment.
- A four-story mixed-use building with debt issues at 244 Jackson St. in San Francisco’s trendy Jackson Square neighborhood is heading to a foreclosure auction next week after the owner’s failure to remedy debt obligations stemming from a $13.6-million loan that matured last July, per the San Francisco Business Times. Appraisers in July 2024 estimated the vacant building’s worth as $13.3 million, below the value of the loan.
- The 278-slip HarborView Marina in South Baltimore, which closed at the end of March, will be sold at a foreclosure auction May 28, the Baltimore Business Journal reported. The onsite sale includes the marina and the first two floors of a building at 500 Harborview Dr., which houses Di Pasquale’s Marketplace and a new event venue. A.J. Billig & Co. is handling the sale.
- A mixed-use site in Charlestown’s Sullivan Square that was once proposed for a 24-story tower will go to foreclosure auction, according to the Boston Business Journal. The property, spanning less than half an acre, is currently home to residential and commercial use totaling more than 20,000 square feet. The foreclosure auction is scheduled for May 20 through JJ Manning Auctioneers. The site at 33 Cambridge St. was once one of a series of planned Sullivan Square developments associated with the development firm Rise Boston.
- Buccini Pollin Group plans to surrender two King of Prussia, PA hotels to its debtholders before a $32.5 million loan balance comes due in June. The Philadelphia Business Journal reported the Wilmington developer is “cooperating with return of keys” for the Fairfield Inn Philadelphia Valley Forge/King of Prussia and the Crowne Plaza Philadelphia King of Prussia to the CMBS trust that owns the debt. The loan on the 306-key hotel portfolio transferred to special servicing in late December over concerns of an “imminent default” ahead of its extended June 6 maturity date.
- Morningstar Credit reported that the $99-million securitized loan backed by 1140 Ave. of the Americas (JPMCC 2016-JP4, WFCM 2016-LC24, & WFCM 2016-C37 | CMBX.10) has transferred to special servicing for imminent monetary default. Since 2020, the Midtown Manhattan office has underperformed issuance levels due to decreased revenue and increased expenses. Occupancy was last reported at 79% as of September 2024, down from 91% at issuance.
- The NYC REIT Mixed Use Portfolio ($50.0 million | 7.6% of UBSCM 2018-C10) has transferred to special servicing for imminent monetary default, according to Morningstar Credit. The portfolio includes The Laurel, an office/parking property on the Upper East Side, and ICON Parking Garage on the Upper West Side in Manhattan. The main office tenant, Cornell University, which occupies 50% of the GLA at the Laurel, vacated at its September 2024 lease expiration.
- The Aspect RHG Hotel Portfolio ($43.7 million | UBSCM 2018-C12 & UBSCM 2018-C13) was transferred to special servicing in late March for imminent monetary default, reported Morningstar Credit. The portfolio includes four select-service/limited-service hotels across secondary and tertiary markets in Tennessee, Colorado and Arizona. This is the loan’s second stint in special servicing, as the loan was also transferred during the pandemic.
- The Hotel Eastlund loan ($37.5 million | CSAIL 2017-C8 | CMBX.11) has transferred to special servicing for payment default. Morningstar Credit reported the Portland, OR hotel’s 2024 net cash flow was 46% below issuance, a combination of low revenue and rising expenses, pushing the DSCR to just 0.94x. The loan was previously specially serviced from 2020 to 2022 due to losing business during the pandemic and was eventually modified.
- ◦Sale/Acquisition
- ◦Financing
