Return to Lender: Week of June 18, 2026

205 West Randolph ($16.7 million | COMM 2015-CR22) was liquidated this month, suffering a $12.2-million loss in the process, according to Moringstar Credit. The 199,000-square-foot office property in Chicago was sold for just under $8.0 million, with $3.5 million of expenses. The sales price was in excess of the most recent appraised value, which pegged the value at $5.8 million. The entire loss was absorbed by Class H.

Trepp reported that the CMBS trust holding the mortgage against the Destiny USA shopping mall in Syracuse, NY is offering it for sale through Newmark. The enclosed mall, the largest in New York State and among the largest in the country, is encumbered by a $483.53-million mortgage and by payments owed on the payment- in-lieu-of-taxes (PILOT) program that helped fund the property’s expansion.

A company that owns four industrial condos in Royal Palm Beach, FL filed for Chapter 11 reorganization to halt a foreclosure auction, reported the South Florida Business Journal. In 2025, JD Investment Group LLC and the Genuine Investments Land Trust won a $2.56-million foreclosure judgment against 581 105 Avenue North LLC, along with loan guarantors Wayne Jenkins and Kimberly Jenkins. The foreclosure auction was delayed several times, but was recently scheduled for June 11. 581 105th Avenue North LLC filed the day before the scheduled auction.

The sale price of downtown St. Louis’ Hotel Indigo has dropped, according to the St. Louis Business Journal. La Salle Gateway Partners LLC now is expected to buy the hotel for $2.3 million. The 88-key property at 501 Olive St. has been in receivership since 2023 and is operated by its receiver, Midas Hospitality. It was previously scheduled to be sold to Miami-based La Salle Gateway Partners for $2.8 million earlier this year, but the buyer terminated the purchase agreement.

One way or another, the bankrupt office-to-hotel conversion at 145 Navarro St. in downtown San Antonio will have a new owner by July 15. The San Antonio Business Journal reported that the property will either sell to Dallas-based Ashford Hospitality Trust (NYSE: AHT) for $32 million or to local developer GrayStreet Partners for about $30 million, according to the latest filings in the U.S. Southern District of Texas Bankruptcy Court. The building’s owner, Blueprint Hospitality, filed for Chapter 11 protection for 145 Navarro’s ownership entity in February 2025, after flooding led to unexpected costs and delays that became untenable.

Morningstar Credit reported that the IMC Portfolio ($975 million | BX 2019-IMC) moved to special servicing at its June 2026 maturity. The portfolio consists of 16 showroom properties across two biannual trade markets: the High Point Markets in High Point, NC, and the Las Vegas Markets in Las Vegas. The loan originally matured in April 2024, at which point it was transferred to special servicing. The loan was subsequently modified and extended, with a new maturity date set for June 2026 and a $175.0 million principal repayment. Since the modification, portfolio performance has continued to worsen, with 2025 net cash flow down 30% from issuance.

The CMBS loan backed by the Fairmont Austin ($430 million | GSMS 2024-FAIR) has moved to special servicing, less than two years after being originated, reported Morningstar Credit. Servicer commentary had previously noted that there were taxes under dispute that the county ultimately determined were the responsibility of the borrower, and that the borrower requested a modification to use manager-controlled FF&E funds to cover the taxes. New commentary notes that the borrower did indeed use these FF&E funds without lender consent

26 Broadway ($290.0 million | MSC 2022-L8, BWAY 2022-26BW, & BBCMS 2022-C15 | CMBX.16) has transferred to special servicing for monetary default after the borrower stated it would be unable to continue making loan payments. Morningstar Credit reported that the Lower Manhattan office has reported declining performance throughout its term, with 2025 net cash flow down roughly 30% from underwritten levels and a below-breakeven DSCR of 0.76x, driven by falling revenues and sharply rising expenses.