A newly constructed apartment complex in downtown Walnut Creek, CA has been returned to its lender after the property’s loan defaulted. The Mercury News reported that NoMa Apartments, developed by Anton DevCo, is now owned by an affiliate of TPF Equity REIT Operating Partnership. The developer had obtained a construction loan of $79.8 million in 2019 but ended up owing over $83 million due to fees and penalties when the lender acquired the property through deed-in-lieu foreclosure.
Prado Group has taken ownership of 20 residential buildings in San Francisco from Veritas Investments. According to the San Francisco Business Times, Prado purchased a mortgage portfolio worth $124 million from New York-based Mack Real Estate Credit Strategies for an undisclosed amount in September. This portfolio included six out of seven loans tied to these properties; Veritas still holds onto one building backed by the seventh loan.
The Washington Business Journal reported that SK Management LLC plans on redeveloping a Washington D.C apartment building located at 2724 11th St NW after purchasing it for $5.3 million last month.The former DC attorney general had filed a lawsuit against this building which will now undergo extensive changes under new ownership with Nick Murray,Marty Zupancic and John Slowinski from Marcus & Millichap brokering this sale following Jefferson-11th Street LLC’s bankruptcy filing back in March2022.
Colliers is currently marketing two historic buildings,Loyalty and Hamilton,in downtown Portland,Oregon as part of receivership sale.These two buildings have combined space totaling just under77,000 square feet with only about one-third being leased accordingtothe Portland Business Journal.Manchester Capital Management,a family office basedin Manchester,Vermont,purchased these properties backin2013for$12 .45millionandrefinancedwithCantor Fitzgerald four years later for$11 .75million.The current balance onthe loa n remains the same and Colliers is working on behalf of the loan servicer and receiver to recoup some ofthe owed amount.
Greenland,thedeveloperof Pacific Park,a 22-acre mixed-use development in downtown Brooklyn(formerly known as Atlantic Yards),is facing a potential loss of control over its second phase.Accordingto multiple reports,the company has defaultedon loans worth nearly $350 million that were backing six rental development sites within Phase2.The lender,Nick Mastroianni’s U.S. Immigration Fund,has initiated foreclosure proceedings against these sites.Newmark’s Jordan Roeschlauband Adam Spies are currently marketinga UCC foreclosure with an auction scheduled for January2024.
Crain’s Chicago Business reported that Melohn Group,a New York-based real estate firm,is facing a lawsuit for defaulting on their mortgage tied to a 24-story office building at111 W.Jackson Blvd.in downtown Chicago.The complaint was filed by an entity representing bondholders in the loan which was packaged with other loans and sold off to CMBS investors.This property is owned by Melohn Group,and they have not made any payments since May accordingtothe lawsuit.
After failing to secure tenants during pandemic shutdowns,the ownersof Horizon Sunnyvale,a recently renovated office complexinSunnyvale,CA,havedefaultedontheirloan.Thesilicon Valley Business Journal reportedthat Embarcadero Capital Partners,took outa$63 .5-millionloanfromlender LoanCore Capital REITin2019,but has stopped making payments.
