Return to Lender: Week of Oct. 16, 2025

Bank of America Plaza, a long-troubled downtown St. Louis office tower, has sold at a massive discount, reported the St. Louis Business Journal. The tower at 800 Market St. was sold for $6.3 million to GSMS 2015-GC30 Market Street LLC in a foreclosure sale on July 1. Positive Investments bought the Bank of America Plaza for $47.85 million in 2010, which represented a 60% drop in price from a 2003 sale of the property. The building has been in receivership since 2024.

The debt backed by three office properties along the West Coast has hit the market, which could clear the path for a new investor to acquire them, reported the San Francisco Business Times. Newmark is marketing a nonperforming $102-million loan pool tied to three office properties spanning 590,918 square feet. The portfolio includes Mt. Diablo Plaza, a 340,557-square-foot office property in Walnut Creek, CA, as well as Amberglen, a 157,517-square-foot office in Hillsboro, OR, and Bel-Kirk 520, a 92,844-square-foot office in Bellevue, WA.

The Denver Business Journal reported that two lots proposed to become home to a six-story apartment building near where the Denver Broncos want to build the team’s next football stadium have gone into foreclosure. The vacant parcels at 1864 W. 13th Ave. and 1820 W. 13th Ave., just northwest of the Burnham Yard property being acquired by the Broncos from the state for a stadium, are the site of a proposed 242-unit multifamily development project known as “The Felix.” Delaware-based B.A. Debt Fund last month filed to foreclose on the lots after the $3-million loan tied to the properties went unpaid.

The $800-million CMBS loan backed by 650 Madison Avenue (MAD 2019-650M & multiple conduits | CMBX.13 & CMBX.14) has transferred to the special servicer, with “imminent monetary default” cited as the cause, Morningstar Credit reported. A new value reported this month put the mixed-use Midtown Manhattan property’s value at $950.0 million, 21% below the issuance appraised value of $1.21 billion. Occupancy as of the June 2025 rent roll was 74%, which is well below the underwritten 97%.

Another Midtown Manhattan securitization, 215 West 34th Street & 218 West 35th Street ($130.0 million | CFCRE 2016-C4, CGCMT 2016-GC36, & CFCRE 2016-C3) has transferred to special servicing, with no immediate cause given, reported Morningstar Credit. The loan is backed by a retail property and the adjacent land beneath a 350-key Marriott. The loan is set to mature in January 2026.

Paramus Park ($120.0 million | 20.7% of CGCMT 2015-GC35 | CMBX.9) has transferred to special servicing after failing to pay off at its September maturity, Morningstar Credit said. Special servicer comments note that the borrower plans to cure the default, but provided no further details. The regional mall in Paramus, NJ reported a 2024 net cash flow of $6.6 million, roughly half of its issuance NCF. Occupancy was 83% as of June 2025.

Morningstar Credit reported that the lender on Westbrook Corporate Center ($86.9 million | BMARK 2018-B4, BMARK 2018-B5, & MSC 2018-H3 | CMBX.12) has filed for foreclosure, rejecting the sponsor’s proposal to purchase the loan note for $52.5 million. A recent appraisal put the Westchester, IL office campus’ value at $41.0 million, 70% less than the $136.0 million issuance value. The loan has been in special servicing since September 2024, and the property’s occupancy has continued to decline to 57% in August 2025, from 68% in June 2024 and 84% at issuance.

North Point Center East ($57.4 million | 13.0% of COMM 2016-DC2) has moved to special servicing ahead of its February 2026 maturity date, according to Morningstar Credit. The Alpharetta, GA office has seen its net cash flow decrease every year since 2020 amid declining occupancy.