Deutsche Bank has acquired the 535,000-square-foot office property at 300 S. Wacker Dr. in Chicago, according to Trepp. In 2017, the bank provided $133 million in financing for Golub & Co. and Alcion Ventures’ purchase of the property for $155 million. However, plans to sell it fell through when Agave Holdings (the company behind tequila brand Jose Cuervo) agreed to purchase it for $96 million in a deal that ultimately did not go through.
The Lowry Apartments in St.Paul,MN are facing foreclosure auction on August 22 due to alleged default on a mortgage of $16.9 million from Colliers Funding LLC taken out by owner Madison Equities in 2016.
LNR Partners has filed for foreclosure on a loan worth$55million against an office property at57 E11th St.in Manhattan’s Union Square area after its sole tenant WeWork Inc.rejected its lease through bankruptcy last November.The owner,Winter Properties,had made some debt-service payments since then but the property was appraised at only$17.millionin March comparedtoits previous valueof$92millionin January2019.
LL Flooring Holdings Inc.has entered into an agreement with Hilco Merchant Resources LLCto assistwith store closing salesat94ofitslocationsafter filingfor Chapter11reorganization proceedingsin DelawareBankruptcy Court.The company is lookingfora buyerandplans tomaintain operationsof300storeswhileclosing others as part of their restructuring plan.
StoryBuilt,a Dallas-based infill housing developer,is currently under receivership appointed by U.S.District Courtof Travis County.Stapleton Grouphas been workingon fixingthe developer’s financesand selling offtheir development pipeline since October2023.However,the bulkofthepipeline still needs tobefinalized and thereis no clear end date yet determinedbythereceiver.Accordingtoreports,theprocess could take years.
A $335-million loan backed by 1500 Broadway in Manhattan has been transferred to special servicing ahead of its October 2024 maturity. The property’s net cash flow is currently reported at a lower rate than the original underwriting and occupancy stands at only75%asofMarch2024.However,the servicerhas stated that there are plans for preliminary underwriting on new financing.
The Chula Vista Shopping Center,a Brookfield-owned property worth$60.7millionand accountingfor25.6%ofCGCMT2014-GC23and CMBX8,was movedtospecialservicing after failingtopayoffatitsJuly2024maturitydate.TheSanDiego-area mall sawa25%dropinnetcashflowsinceissuanceandincreaseinoccupancybelow70%.TheformerSearsstoreis still vacant and no replacement tenant has been found yet.
Aloft Cupertino,a $30.4 million CMBS loan securedbya123-keyhotel in Cupertino,CAdid not pay offatitsAugust 2023 maturity date despite being modified for COVID-related relief last year.Net cash flow remained negative since December2018when the sole tenant,Tintri,lefttheproperty.This resultedintheloanbeingtransferredtospecialservicingahead of its August 24maturity date as per Morningstar Credit reports
Tintri Mountain View,is a$20.millionCMBSloansecuredbyavacantSiliconValleyofficepropertythat was transferred to special servicing before it reached its August24,maturitydate.TheloanremainedcurrentdespiteyearsofnegativecashflowsinceDecember2018whentheonlytenantleft.Accordingtotheservicer,borrowerrequestedaneextensionpriortothetransferbutit did not go through eventually.
Century Plaza,in Columbia,MDis facing foreclosureafter passingits July24,maturiydate without securing takeout financing.The office property reported 86% occupancy in March2024but servicer commentary notes that the borrower has been facing leasing headwinds and further deterioration of occupancy is expected.
