Some Debt Left Its Heart in San Francisco; Blackstone’s Big Hospitality Profit

Some Debt Left Its Heart in San Francisco; Blackstone’s Big Hospitality Profit This week, loan payments were ceased on two of San Francisco’s largest hotels in a pullback move from the city; Congress tackles retail REITs; and our Power Finance 2023 Podcast. Park Hotels & Resorts Halts Debt Payments on 2 San Francisco Hotels Park Hotels & Resorts terminated payments this month owed on a $725 million nonrecourse commercial mortgage-backed securities loan backing two San Francisco hotels, as part of a plan to reduce exposure to a city confronting record-high office vacancy and high-profile retail closings. [Read More](   Top Deals Of The Week   - Madison Realty Capital Provides [$262M]( Construction Loan for Miami Luxury Tower - Deutsche Bank, Naftali Credit Partners [Lend]( $84M on Greenwich Village Condo Build - Wintrust Supplies $48M [Construction Loan]( on North Carolina Multifamily Project - Maxim Capital [Supplies]( $40M Acquisition Loan for Queens Development Site - Thorofare Capital Provides $36M Acquisition Loan for [Long Island]( Industrial Complex - Dwight Capital Provides $32M [Refi]( for Oregon Multifamily Property     Guest Column   Considering Investing in Distressed Assets? Consider the Challenges First The complexities and risks associated with distressed properties make it crucial for investors to carefully evaluate various factors before making an offer, writes Esther Reizes-Lowenbein, founder of Esther Reizes & Co. [Read More](   Q & A   PGIM’s Cathy Marcus on Winners and Losers in Office and ESG’s Durability As PGIM Real Estate's global COO and head of its U.S. equity, Cathy Marcus is one of the company’s most important executives and was recently named one of Barron’s 100 most influential women in U.S. finance. [Read More](   Other Stories From This Week   Poughkeepsie Mall’s Valuation Sinks $169M Since 2011 Issuance The value of a Poughkeepsie, N.Y., mall securing two commercial mortgage-backed securities loans has plummeted by 71 percent since debt was issued on the property just over a decade ago, underscoring the larger challenges faced by older indoor retail properties. [Read More]( Podcast: Editors Discuss the 2023 Power 100 and Power Finance Lists Max Gross, CO’s editor in chief, and Cathy Cunningham, finance editor and co-deputy editor, reveal how they chose this year’s Power 100 and Power Finance honorees, the trends that stood out, the industry moves — and investments — that propelled people higher, and why the lists’ No. 1 honorees were so crowned. [Read More]( Bipartisan Bill Proposes Tax Changes for Retail REITs, Granting Greater Equity Stakes A bipartisan congressional bill would alter a 1986 tax law and grant real estate investment trusts the opportunity to make greater equity investments in their distressed retail tenants. [Read More]( Blackstone’s $800M Sale of Texas Resort Continues Hospitality Momentum Blackstone deal struck this week to sell a San Antonio hotel property for $800 million, netting a $275 million profit, spotlighted renewed tailwinds in the hospitality sector in its significant recovery from the depths of the COVID-19 pandemic. [Read More]( NewPoint Executes First Freddie Mac Q Securitization NewPoint Real Estate Capital closed its first deal through Freddie Mac’s Q program with a $199 million securitization of eight floating-rate, first-mortgage bridge loans backing multifamily properties in Texas, New Jersey and Nevada. [Read More]( Artemis Real Estate Partners Closes $2.2B Fundraising Round Washington, D.C.-based private equity firm said it will target opportunistic and value-add transactions with new capital. [Read More]( New JV Acquires Four Virginia Grocery-Anchored Shopping Centers for $110M Rosenthal Properties, FarmViewVentures and HIG Realty Partners have formed a venture partnership to spend $110 million for four grocery-anchored shopping centers in the Richmond, Va., area, Newmark announced. [Read More]( JPMorgan’s Al Brooks to America: Calm Down, It’s Not 2008! The managing director and head of JPMorgan Chase Commercial Real Estate said the current banking upheaval is not the 2008 financial crisis. [Read More]( CMBS Delinquency Rate Jumps 7 Percent in May The CRED iQ CMBS delinquency rate increased in May for the fourth consecutive month to 4.2 percent. [Read More](     What We're Reading This Week   - [Interest-only loans]( helped commercial property boom. Now they’re coming due. [WSJ] - Hong Kong’s office towers have never been so [empty]( [Bloomberg] - Millionaires are hoarding cash, [betting]( on higher rates, CNBC survey says [CNBC]   [View in Browser]( | [Advertise]( | [Forward to a Friend]( [Manage your email preferences or unsubscribe]( [Commercial Observer]( © Copyright 2023 [Observer Media]( 1 Whitehall Street, Floor 7, New York, NY 10004 This newsletter was published 06/08/2023