Monday, August 12, 2013

JPMCC 2008-C2 - The Promenade Shops at Dos Lagos

This $123mm loan finally liquidated after going delinquent the same year it was sold to the market in JPMCC 2008-C2, resulting in a >100% loss and wiping out 12 tranches in the process. The property sold for $29.7mm in gross proceeds, but that was only enough to cover the servicer advances, selling costs,  and a portion of the ASER. The remaining $10.8mm of ASER was left unpaid.

Barclays has an execellent summary out about it with links to the other big losses in recent months, Silver City Galleria and Tri-County Mall.

For previous stories we wrote on this deal, click here.

And, yes, because this JP deal wins the worst CMBS Deal Evah award, we will once again display an image of JP Morgan's namesake expressing his feelings about the loan.
When I find the originator at my bank who made this loan, I'm going to gut his belly open like the pig he is (exhibits thrusting motion of knife at hip level) and place his head on a pike out front of the office.   -misattributed to J.P. Morgan

1 comment:

crabsofsteel said...

Actually, the loan originators were probably promoted! When this deal was done, it was hailed as a return to sobriety because of the 14.75% of AJ credit support. Now, if you back out appraisal reductions, AM actually has 0% credit support. If you missed out on reading the scary Westin Portfolio modification which made the loan a PO, it looks like it has stopped paying principal too.