Fortress Makes $1B Bet on NYC Office Market, While WeWork Adds Stress to It

Fortress Makes $1B Bet on NYC Office Market, While WeWork Adds Stress to It This week, Fortress Investment Group acquires roughly $1 billion of New York City office loans from Capital One in a bullish wager that the sector will feature a big turnaround; On the opposite end of the spectrum, we take an in-depth look at the demise of WeWork and the threat its impending collapse puts on New York City’s fragile office market; Don Peebles enters North Carolina for the first time with a major development in Charlotte; and Mitch Sinberg breaks down the South Florida housing market. Fortress Makes $1B Bet on NYC Office Rebound With Capital One Loan Portfolio Buy Fortress Investment Group has acquired roughly $1 billion of office loans from Capital One, with an eye toward a turnaround in New York City’s office sector, Commercial Observer first reported. [Read More](   Top Deals Of The Week   - [Valley National]( Bank Leads $123M Loan for Clipper’s Latest Brooklyn Development - Capital One Refis NY, NJ Multifamily Assets With $200M [Loan Package]( - Northwestern Mutual [Lends]( $85M on Maryland Apartments - White Oak [Refis]( North Fork Self-Storage Property With $28M Loan - Stonehill Provides [Peebles]( Corp. $23.75M Construction Loan for North Carolina Debut - Meyers Group [Nabs]( $38M to Build Lake Worth Apartments     Guest Column   How Commercial Real Estate Can Navigate Insurance Challenges Cindy Barreda explains that while lenders, investors and developers may be more aware of specific insurance challenges, a combination of rising costs and contracting availability of required coverage is trickling down to impede business activity for a wide spectrum of real estate organizations. [Read More](   Q & A   Florida’s Favorite Lender: How Berkadia’s Mitch Sinberg Captured Market Share in South Florida After $6 billion in deal volume in 2021 and $5 billion in deal volume in 2022, the senior managing director of Berkadia South Florida has helped make his firm the top provider of commercial mortgages in the state. [Read More]( Raymond Chalme and Daniel Blanco Talk Launch of Paradigm Advisory Group Broad Street Development principals Raymond Chalme and Daniel Blanco discuss launch of new consulting arm to aid commercial real estate market participants facing distress. [Read More](   People Moves   C&W’s Javier Lezamiz Takes Over NYC Asset Services Role Cushman & Wakefield is closing the gap left by the recent departure of Drew O’Connor by promoting another industry veteran, Javier Lezamiz, to the role. [Read More](   Other Stories From This Week   What ‘Substantial Doubt’ Over WeWork’s Survival Could Mean for NYC’s Office Market Millions more square feet might spill onto a struggling office market — or the company’s bombshell forces landlords to play ball. [Read More]( Office REITs Earnings Beat Estimates, but Show Disconnect From Wider Market: Barclays A number of public real estate investment trusts with heavy exposure to the office market beat estimates in second-quarter earnings with assists from outside capital, according to new analysis from Barclays. [Read More]( CMBS Loan on Former Tommy Hilfiger Flagship Store Falls 30 Days Delinquent A $215 million commercial mortgage-backed securities loan, securing a Manhattan office and retail property that once housed Tommy Hilfiger’s global flagship store, is 30 days delinquent. [Read More]( MetLife Investment Management Launches $390M SFR Fund MetLife Investment Management has closed a new single-family rental closed-end fund with $390 million in capital commitments. [Read More]( Margaritaville Times Square Hotel Owner Files Second Bankruptcy Motion Sharif El-Gamal’s Soho Properties filed a second bankruptcy petition to further protect its interests in the Margaritaville Resort Times Square Hotel. [Read More]( What Triggered Watchlist CRE Loans in the First Half of 2023 More than a third of commercial real estate loans added to CRED iQ's 2023 watchlist were driven by debt service coverage ratio triggers. [Read More](     What We're Reading This Week   - Fed officials see ‘upside risks’ to inflation possibly leading to more [rate hikes](, minutes show [CNBC] - [Wall Street]( is ready to scoop up commercial real estate on the cheap [WSJ] - What [recession](? This summer’s economy is defying the odds [Washington Post]   [View in Browser]( | [Advertise]( | [Forward to a Friend]( [Manage your email preferences or unsubscribe]( [Share your thoughts: Help us improve with our quick feedback survey!]( [Commercial Observer]( © Copyright 2023 [Observer Media]( 1 Whitehall Street, Floor 7, New York, NY 10004 This newsletter was published 08/17/2023