Park Hotels & Resorts Inc. announced on Thursday that the trustee for a $725 million non-recourse CMBS loan has filed a lawsuit over missed payments. The trustee is seeking the appointment of a receiver to manage and sell two hotels securing the loan: Hilton San Francisco Union Square and Parc 55 San Francisco, with an expected sale completion date of September 1, 2024.
In Atlanta’s Midtown neighborhood, plans for the Opus Place residential tower have fallen through as Olympia Heights Management faces foreclosure on their $40 million loan from Benmark Capital. The property will be auctioned off in November.
Blackstone is currently negotiating with special servicer CWCapital to surrender four Club Quarters hotels in major cities after defaulting on a $274 million loan secured by these properties. They are aiming for a deed-in-lieu agreement according to sources.
Two office towers in St.Louis are facing financial troubles as well – one set to go up for auction next month due to its sole tenant leaving in 2017 and another being forced into receivership by investors who claim that its owner failed repayments on their loans totaling approximately $16.5 million.
Morningstar reported that Brass Professional Center ($55.8 million | BMARK 2020-B18, BMARK-2020-B19) was sold at auction after moving into special servicing earlier this year while Fashion Outlets of Niagara Falls ($86.2million | COMM-2010-C1) is also headed towards special servicing despite receiving an extension until October of next year from Macerich who owns it .
340 Bryant (30 .9million| CFCR-2017-C8,WFC-2017-RB1), saw its appraised value drop significantly since issuance due WeWork vacating which led it move into special servicing last month while Grant Building($36 .7million| CGCMT -P8), located Pittsburgh, was also moved into special servicing due to a decrease in cash flow despite maintaining high occupancy rates.
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