Labor Day Loans, Mods, Buys and Podcasts

Labor Day Loans, Mods, Buys and Podcasts This week, we might not have zombies roaming the city while much of the industry enjoys the last few days of summer in the Hamptons, but we do have a return from the dead in the form of a $900 million loan package at 20 Times Square, a property that was once destined for foreclosure but now appears to have found a second life through an extension and partial paydown. Other big deals include Cannae Advisors and Morgan Stanley’s $174 million acquisition of a distressed Albany Mall and L.A.’s Afton Properties purchase of the 248-unit Hills of Corona apartment complex for $71 million, with Arbor Realty Trust providing $43 million of the debt via Fannie Mae. If that’s not exciting enough, CO Executive Editor Cathy Cunningham and finance reporter Andrew Coen discuss the implications of Fortress Investment Group’s staggering $1 billion acquisition of office loans from Capital One. Finally, a second-quarter capital markets report from Newmark shared some shocking metrics, notably that CRE originations are down 52 percent year-over-year, while the market has 32 percent fewer lenders than it did at this time last year. Hopefully, this dour news won’t spoil anyone’s Labor Day fun! Extension Eyed for Distressed 20 Times Square Loan A $900 million loan package on Maefield Development’s 20 Times Square, a property that recently appeared to be destined for foreclosure, may suddenly have new life. [Read More](   Top Deals Of The Week   - [Blackstone]( Lands $145M Construction Loan for SoCal Logistics Development - Miami Design District [Lands]( $250M Refi for Paradise Plaza - Afton Properties Buys [Inland Empire]( Apartment Complex for $71M - Wells Fargo Provides [$360M]( For Carmel Partner’s Historic Hotel - Cannae Advisors, Morgan Stanley Buy $174M Debt Attached to [Albany Mall]( - MidWestOne Bank Makes $47M [Construction Loan]( for Minnesota Development - X-Caliber Leads $34M Financing for California [Almond]( Processing Facility Expansion - Principal Asset Management Lends $56M on [Philly]( Industrial Facility - JPMorgan Chase [Assumes Ownership]( of Distressed D.C. Office Property - Onni Group Gets 3-Year [Extension]( on Big Loan Tied to Wilshire Courtyard Offices in LA     Guest Columinist   A Growing Chasm: Surging Home Prices Outpace Income Growth In a sign of changing economic dynamics, a recent study reveals the gap between home prices and household incomes continues to widen, pushing homeownership further out of reach for many Americans. [Read More](   People Moves   PRP Adds Investment Vet Tom Wasko in Senior Position Tom Wasko has been named as director of acquisitions and investments for PRP, an investment management company headquartered in Washington, D.C. Wasko has more than 10 years and $2.5 billion of transaction experience in commercial real estate during his career. [Read More](   Other Stories From This Week   Data Center Delivery Could Face Big Delays Through 2027 The recent momentum of artificial intelligence (AI) is driving an imbalance between supply and demand in the data center market, with Phoenix feeling much of the proverbial heat, according to a new report from JLL. [Read More]( Interest Rate Hikes Temper US Industrial Madness: Report The Federal Reserve’s interest rate hikes over the past 18 months have significantly slowed the pace of new industrial construction, normalized the level of investment sales, and tamed leasing activity in the United States, according to the latest report from analytics platform CommercialEdge. [Read More]( NYC’s Billion-Dollar Bet In this special episode of CO’s The Back Story, we dive into the groundbreaking news of Fortress Investment Group’s acquisition of a staggering $1 billion in office loans from Capital One — a move signaling a significant bet on New York City’s office sector rebound. [Read More]( CRE Lending Down 52 Percent Annually: Newmark A second-quarter 2023 U.S. capital markets report from Newmark found CRE debt origination volumes have declined by 52 percent year-over-year, and that the current market has 32 percent fewer lenders than it did at this time last year. [Read More](     What We're Reading This Week   - Corporate America’s chief critic, Carl [Icahn](, gets his comeuppance [NYT] - [Communist Party]( priorities complicate plans to revive China’s economy [WSJ] - Billionaire investor Jeff Greene: We’re in the [first inning]( of the commercial real estate correction [CNBC]   [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 08/31/2023