Commercial Real Estate Direct Staff Report
The $38.1 million CMBS loan against the Steelyard Commons shopping center in Cleveland could very well be challenged to get refinanced when it matures in just more than a year.
The loan, securitized through JPMBB Commercial Mortgage Securities Trust, 2013-C12, has never missed a scheduled payment, even though its collateral last year generated cash flow that was just two thirds the amount needed to fully service the loan. That cash flow shortfall was highlighted this afternoon by Wells Fargo Securities, whose CMBS research analysts highlighted the loan as a credit concern.
Its collateral, with 264,848 square feet at 3506 Steelyard Drive, is owned by First Interstate Properties, a Lyndhurst, Ohio, developer that built the property in 2007 at a cost of $95.5 million on the...
“The Weekly” is Commercial Real Estate Direct’s PDF newsletter, sent to subscribers every Friday morning. With over 100 news stories published on Commercial Real Estate Direct each week, “The Weekly” features the top stories in commercial real estate that industry participants need to know first. “The Weekly” also contains:
- Breaking mortgage, CMBS, and REIT news
- Quarterly league tables with rankings of B-piece buyers, book runners, and lenders
- Industry moves and changes in “The Insider“