Big NYC-Area News
Commercial Observer
Connecting and informing industry leaders of trends and individuals defining the global commercial real estate landscape
A commercial mortgage-backed securities loan tied to an office building in East Rutherford, N.J., has fallen into special servicing following a default. The loan had been current since its 2014 securitization. It’s another sign of the lingering distress in commercial real estate financing. Meanwhile, across the Hudson River, law firm Willkie Farr signed one of the largest office leases in the nation in recent months.
Enjoying these stories on all things CRE? Unlock unlimited access to our content with a subscription .
— Tom Acitelli, Deputy Editor
New Jersey Office One Met Center Defaults on $76M CMBS Loan: Trepp
A $76.1 million commercial mortgage-backed securities (CMBS) loan collateralized by One Met Center, a 420,00-square-foot office building in East Rutherford, N.J., has been sent to special servicing for defaulting on its maturity payment, according to a Trepp alert. The loan failed to make a balloon payment upon maturity and is now characterized as a “nonperforming matured balloon” by Trepp. Prior to this default, the loan had been current since its 2014 securitization, and the borrower had indicated that it planned to refinance the loan. Fred Arena, CEO of Vision Properties, disputed there is any issue with the loan and said his firm is finalizing a five-year loan that is secured by the building.
领英推荐
Willkie Farr & Gallagher Renew 315K SF at 787 Seventh Avenue
Law firm Willkie Farr & Gallagher has renewed its 315,000-square-foot headquarters at CommonWealth Partners’ 787 Seventh Avenue for an extra 20 years, the tenant announced Friday. The space in the 51-story Theater District building will also undergo renovations to accommodate the tenant’s future needs, though it’s unclear if the landlord or the law firm will be paying for the upgrades. The parties did not immediately provide the asking rent in the deal, but the average asking rent for offices in Midtown was $83.54 per square foot in the second quarter of 2024, according to CBRE. “Willkie’s presence and long-term tenancy at 787 Seventh is a true testament to our focus on creating an exceptional overall experience and establishing lasting relationships with our customers,” Stefan Khudic, a principal at CommonWealth, said in a statement.
Enjoying these stories on all things CRE? Unlock unlimited access to our content with a subscription . And for a daily version of this newsletter, sign up here .