A $1.1-billion CMBS loan for an office building located at 280 Park Ave. in Manhattan has been transferred to special servicing, according to Trepp. The borrowers, SL Green Realty and Vornado Realty Trust, are currently working towards obtaining a modification and extension agreement with the new servicer Wells Fargo Bank.
In addition, Evercore ISI has downgraded the valuation of Worldwide Plaza in Manhattan by $500 million to $1.2 billion due to potential lease losses from major tenants such as law firm Cravath Swaine & Moore and Nomura Securities.
The loan for TC Energy Center in Houston is now considered “matured” and “non-performing” after its maturity date last June. However, owner M-M Properties is actively pursuing a recapitalization plan.
WeWork recently filed a motion seeking reduced rent at four of its coworking spaces including Watermark Tempe ($121 million) and 71 Fifth Ave ($25 million). The company plans on giving back space at these locations while retaining six other leases announced earlier this year.
A three-story retail building near Union Square defaulted on a loan tied to the property worth $600 thousand from early 2023 with an outstanding balance of over $313 thousand still owed as reported by Wilshire Quinn Income Fund LLC who could potentially foreclose on the property due to default.
