A prime development site in Midtown Atlanta has been taken over by a lender, as reported by the Atlanta Business Chronicle. During a foreclosure auction this week, Benmark Atlanta Lender LLC was the sole bidder and took back ownership of the four-acre Opus Place site. The credit bid of $40 million represents what is owed to Benmark from previous owner Olympia Heights Management.
In other news from Atlanta, eight additional properties within Newport’s South Downtown portfolio are set for foreclosure in December. This brings the total number of properties up for auction to 18 and includes buildings and lots at Peachtree, Broad, and Forsyth streets.
Meanwhile in Boston’s metro area, an onsite auction will take place on December 6th for a country club and its accompanying golf course in Lakeville that is facing foreclosure. The property spans 162 acres and is owned by an LLC affiliated with A.A Will Corp., according to the Boston Business Journal.
Morningstar reports that CSWF 2018-TOP (backing office properties in Charlotte) has served written notice terminating their ground lease with their borrower who went into special servicing this past August. Originally carrying a balance of $530 million before releases/paydowns were made on twelve out of fifteen collateralizing properties bringing it down to $51.5 million; occupancy at one remaining property -200 North College- has dropped significantly following Bank Of America’s departure.
The San Francisco Business Times reports another commercial property may be headed towards receivership downtown after Pasadena-based East West Bank filed against Dallas-based investor Canyon Partners’ affiliate alleging defaulting on May loan payment totaling $42-million asking court intervention placing control under receiver hands.
Trepp reported three largest CMBS loans resolved October all backed retail spaces: Dublin OH Mall At Tuttle Crossing ($106M), Chicago Chatham Village ($22M), Manhattan AllSaints USA Ltd.’s single tenant condo space ($18M).
Fitch Ratings downgraded WeWork’s Long-Term Issuer Default Rating (IDR) to “D” from “RD” following Nov. 6 bankruptcy filing with $4.2B in total debt outstanding as of petition date and close to $490M third-lien/unsecured bond debt expected extinguished due mismatch between long-term leases and short-term customer agreements being fundamental flaw of business model according to Fitch commentary.
