Calmwater Capital, a Los Angeles-based company, has hired SVN Chicago Commercial to sell a vacant property located at 209-227 S. State St. in Chicago, according to Crain’s Chicago Business. The vintage property was acquired by Calmwater through deed-in-lieu of foreclosure from Sterling Organization in May and has been unoccupied since Foot Locker closed its doors in 2020.
In late September, Morningstar Credit reported that two loans within GSMS 2019-GSA1 were transferred to special servicing due to non-monetary default. These loans include Mediterranean Apartments ($37.5 million | 4.5% of GSMS 2019-GSA1 | CMBX13) and Sunrise Apartments ($19.8 million |2 .4% of GSMS 2019-GSA1 | CMBX13), both sponsored by Kevin Jones & Louise A.Jones.The properties have reported lower net cash flows for the year compared to initial projections but maintain healthy debt service coverage ratios (DSCRs) due their interest-only structures.These multifamily properties are located in Southern California.
Fitch Ratings recently downgraded three classes and affirmed eleven classes of Benchmark BMARK-18-B2 Mortgage Trust commercial mortgage pass-through certificates series BMARK-18-B2.Additionally,Fitch assigned Negative Rating Outlooks for classes E-RRand F-R following their downgrades.Outlooks on class Dand X-Dwere also revised from Stableto Negative.The largest contributor towards expected losses is Central Parkof Lisle,a suburban office building measuring693606 square feetlocatedin Lisle,Illinois.Thisproperty comprises two interconnected buildings built between1991and2001,and renovatedin2015.InSeptember2023,the loan was transferredtospecialservicingdue tomaturitydefaultaheadofitsJanuary2023 maturitydate.
Sixclasseshavebeen downgradedbyFitchRatingswhileelevenclasseshavebeen affirmedforCSAIL2017-CX10 Commercial Mortgage Trust Pass-through Certificates series 2017-CX10.Fitch has also assigned Negative Rating Outlooks to five classes following their downgrades and revised the outlook for four of the affirmed classes from Stableto Negative.The largest contributor towards expected losses is a loan secured by a 69,392-square-foot office property located in Manhattan’s SoHo neighborhood. The three tenants at this property are WeWork,Celine,and Ralph Lauren.Althoughthe property has maintained full occupancy since its issuance, both WeWorkand Celine (occupying93.8%oftheproperty)haveleasesrollingoverin2024.Thesecondlargestcontributortowardsexpectedlossesisthe600Vineloanwhichissecuredbya578893squarefootofficepropertylocatedinCincinnati.Thisloanwas transferredtospecialservicinginJune2023duetoimminentdefaultcausedbycontinuedyearoveryearperformancedeclines.
According to Crain’s New York Business,Fitch Ratings has downgraded a loan secured by Worldwide Plaza,a two-million-square-foot mixed-use project in Midtown Manhattan that faces an uncertain future as key tenants plan to vacate the premises.Cravath,Swaime&Moore and Nomura Holdings generate more than 80% of cash rent at this office building.New York REIT attemptedto sellthispropertyfor$1.7billionbutfoundfewtakers.
The San Francisco Business Times reported that China Oceanwide Holdings Limited,the investor behind Oceanwide Center-an unfinished2.1million square footmixed-useprojectindowntownSanFrancisco-hasbeenorderedtoliquidatebyaBermudacourt.ThisdevelopmentcomesmorethanayearafteranaffiliateofNewYorklenderDWPartnersfiledawinding-uppetitionagainstChinaOceanwideinBermudacourtdueitfailuretopaya$1754millionloanon80SouthSt.,aplannedresidentialtowerinLowerManhattan.
To help guide clients through looming loan maturities, a higher interest rate environment,and downward pressure on valuations across asset classes, law firm Seyfarth Shaw has launched a servicing/special servicing group.The new practice will be chaired by Katie Schwarting who recently joined the international law firm and is based in Charlotte. The Servicing & Special Servicing team at Seyfarth counsels various loan servicers including CMBS,FreddieMac,CLOsecuritizationsforspecialservicers,masterservicersandsub-servicers.ThisnewpracticegroupwillalsoassistmezzanineservicerstoarrangeservicesforFannieMae,lifecompany,warehouselending,andotherfinancefacilities.
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