I'm going to set up a Girl Scout Cookie stand at One Park Ave

Looks like One Park Avenue is likely to pay down as early as next month according to stories in CMAlert and a report out from Barclays today. The $375mm loan is in BACM 2007-2 (6.01%) and BACM 2007-3 (5.36%), and Barclays thinks the defeasance (BB shows it as having 9 months of lockout? maybe that is incorrect) will get waived and it will pay off.

In other words, you might not want to buy the BACM 2007-2 A1s offered at 101-01 today (even though they got lowered from 101-02...), and you probably didn't get that great a deal if you bought those BACM 2007-3 A2 last week at 104

According to Barclays, the recap included a $250mm 5year from MS for the next CMBS deal, $180mm equity from Vornado for 95% of the deal, and Murray Hills is retaining the remainder 5%. The total cash involved here is $430mm. This is not a clean trophy property sale, though. The senior mezzanine holder, RXR owned $75.4mm (M1), was pressing hard for action including potential foreclosure. The $50.4mm residual was held by Citi and the $32.6mm M2 was held by BOA for a total debt stack of $483.4mm. BCG expects the M2 will take a substantial hit - my math says the M1 is going to take a pretty good hit too, and once we start adding in fees it may get worse.

I've really just been looking for an excuse to use this picture - those girl scouts are hard core and you don't want to mess with them.

Second & Seneca - BACM 2007-3

Current Occupancy 70.16%, Class A & B office buildings, transferred due to WAMU vacancy (16%). Appraised $121mm on 8/31/2009.

Will update with more details when available.

Bloomberg: (no link)

The Seattle building, known as Second & Seneca, has been about 15 percent vacant since Washington Mutual Inc. left after its 2008 bankruptcy filing, according to data compiled by Bloomberg. The loan was transferred to a special servicer last year to facilitate restructuring talks.
Tishman Speyer invested $15 million of new equity, according to a person with knowledge of the matter who asked not to be identified because the announcement was not yet public.
The debt restructuring “ensures that the property has sufficient capital to lease the property to stabilization and create long-term value,” said Jerry Speyer and Rob Speyer, co- chief executive officers of Tishman Speyer, in an e-mailed statement. The debt matures in 2017, according to the statement....

Tishman Speyer, based in New York, bought the property for $230 million in April 2007 and it was appraised at $125.2 million in 2009, according to King County property records. The loan was bundled into a commercial mortgage-backed security.
The property at 1191 Second Ave. includes a 436,752-square foot (40,576 square meter) Class A office tower and a four- story, 74,712-foot building and data center. The property was built in 1991. Safeco Corp., a Seattle-based home and automobile insurer, is the largest tenant.

Second & Seneca asking for debt restructuring

Originally part of the EOP transaction, Second & Seneca traded hands 4 times (Zell->Blackstone->Archon (GS)->Tishman), very quickly, ending up in Tishman's hands. For some reason that is not working out so well, and Tishman is attempting to restructure the debt.

More bad news for BACM 2007-3 - see prior post on Renaissance Mayflower.

Rennaisance Mayflower Hotel (DC) asking for loan mod

One of the largest (5.7%) loans in BACM 2007-3 is asking for debt relief. Not completely unexpected, but we did call them last fall on a number of occasions and couldn't get a room - took that as a sign things might be okay there, despite the financials...

Although Rockwood isn’t in default on the note, it was forced to lower room rates to keep up occupancy. As a result, the hotel earned just $7.6 million in 2008 and $6 million for the first half of 2009. That’s not enough to cover the $11.5 million in debt payments that Rockwood pays each year.

Value deficiency is around 55% per Realpoint.

Room 871 is where Ashley Dupre cheered Eliot Spitzer up on a number of occasions, but here presence was apparently unable to lift the hotels flaccid financials.

The Rockwood Group has a number of other problems too, and that concerns me.


UPDATE: April 2010 - went delinquent