Return-Path: Delivered-To: andrew@sterlingcal.com Received: from reseller401.webserversystems.com by reseller401.webserversystems.com with LMTP id SE6uH2Ozlmar6woAchKAPA (envelope-from ) for ; Tue, 16 Jul 2024 12:52:35 -0500 Return-path: Envelope-to: andrew@sterlingcal.com Delivery-date: Tue, 16 Jul 2024 12:52:35 -0500 Received: from o15.sender.crmapp.com ([159.183.115.46]:53120) by reseller401.webserversystems.com with esmtps (TLS1.2) tls TLS_ECDHE_RSA_WITH_AES_128_GCM_SHA256 (Exim 4.96.2) (envelope-from ) id 1sTmLq-0030Kg-2v for andrew@sterlingcal.com; Tue, 16 Jul 2024 12:52:35 -0500 DKIM-Signature: v=1; a=rsa-sha256; c=relaxed/relaxed; d=jefftaborgroup.com; h=content-type:from:mime-version:subject:to:cc:content-type:from: subject:to; s=s1; bh=Bm4t18pK3XaTEpl0cd2TG/wN0fPs2U+jxSHtrrINL0k=; b=lP6rTytFkarcORuaEymBFkp3tRu2ARjqWE8F0hefFFQi9oLzudFBggZc6+f6//A2StOz n2MLaFaim7cROiafzo2/B3tknffQz2AQVHOlND7ncU3QbfOGox4zFJJ66ZIKlYc1wWrL4L R/ZWYiLfEmOTsvw4gpX+33toC09K73+zf2KubG56MkwwVYhabcA4MItQkQgFB9dH21MXs7 iV3HxdGJ2Y1dV9XCSt6dEACKOJYKtAMmVopmAEWC+tTO/4Ttv1v+lAgT/pjG58yKZf8wiF 2Cn1IeW9I4RpU2W9g1sJff/qohiyA+SJm2nFEFh7zP1g7SMrwS7vSc/TkkqpQySg== Received: by recvd-65946f9675-hjpp2 with SMTP id recvd-65946f9675-hjpp2-1-6696B354-4 2024-07-16 17:52:20.05888349 +0000 UTC m=+1644284.704962529 Received: from MjEzMTA1MDQ (unknown) by geopod-ismtpd-29 (SG) with HTTP id fxllFsEIQAOADDd0Iw-0rA for ; Tue, 16 Jul 2024 17:52:20.034 +0000 (UTC) Content-Type: multipart/alternative; boundary=962ea1bd376d561cff622c80f0f65d1bcc181ec7cd5c476b9936ac16bfef Date: Tue, 16 Jul 2024 17:52:24 +0000 (UTC) From: Jeff Tabor Mime-Version: 1.0 Subject: Default Message-ID: X-SG-EID: =?us-ascii?Q?u001=2E6XgS+aMGExnB1bqZZrdrz9qzQEbZ7BEjpKh5guDijZ5HYu1dYAKq1tDEG?= =?us-ascii?Q?Tygo2l3bpRSrRRtQO=2FYwkK2RsxQ5Mmal2mPi2H0?= =?us-ascii?Q?JhgIOII0X31NZHdmtEdaTHePa3WLwLdV+o2DtUN?= =?us-ascii?Q?cVZ0k37Pu5+bthfVEuPzR98nZTL8Y7jlTq4Ptus?= =?us-ascii?Q?Fxi7kde98ytTSNpftMcOAftf7WUG6hjzAqHwPyF?= =?us-ascii?Q?+wPlnN19LWPkM0LUzWwP8Qq+svXinnAG+2hF3dz?= =?us-ascii?Q?+aio?= X-SG-ID: =?us-ascii?Q?u001=2ESdBcvi+Evd=2FbQef8eZF3BlAWRik+qKTd+6yzMPN3GYVXirEbTmKO6P5Yy?= =?us-ascii?Q?ZUjPYdnWsj4U9UwV5=2F3cH98yI4sBxwpN7g6Ibha?= =?us-ascii?Q?7CQ8imuaWyXrv8TagZd2yt6949gftZcYtdryzP7?= =?us-ascii?Q?k=2FrxDaL5v0tVPHg=3D=3D?= To: Andrew Sterling X-Entity-ID: u001.hZHiB6kKM9UW5e2fAO4iNQ== X-Spam-Status: No, score=0.3 X-Spam-Score: 3 X-Spam-Bar: / X-Spam-Flag: NO --962ea1bd376d561cff622c80f0f65d1bcc181ec7cd5c476b9936ac16bfef Content-Transfer-Encoding: quoted-printable Content-Type: text/plain; charset=iso-8859-1 Mime-Version: 1.0
=20

Good morning, Andrew.
<= br>Please see below…are you protected in the event of default on the= loan by your landlord? Do you have a rock solid Non Disturbance agreement = to protect your lease and security deposit in the event of landlord default= ? What about all the free rent you contracted for, tenant improvement monie= s and supposed “below market deal” you obtained last time? You = do know, right, that these, too, will all go away in the event of a landlor= d default?

Did your former broker who did your last lease protect yo= u here? 100%, I would suggest “No”. Going forward, I will and I= would. If you have a question or two as to how I would do this for you, pl= ease reach out…no strings.

Sincerely,

Jeffrey A. Tabor – Founder/CEO
<= a href=3D"mailto:Jeff@JeffTaborGroup.com" style=3D"color:blue; text-decorat= ion:none;">Jeff@JeffTaborGroup.com
JeffTaborGroup.com=
(800) 507-6673
RE License # 01015287

Connect with me on L= inkedIn: Jeffrey A. Tabor




=

= A $400M CMBS loan on Brookfield Properties= ' Bank of America Plaza in Los Angeles has moved to special servicing. = The loan is set to mature in September.

The l= oan has performed since origination and the net cash flow at 333 South Hope= St. over the last full year was slightly above underwritten levels, accord= ing to a report from Morningstar Credit.

But= the 1.4M SF building's occupancy has dropped below 80% and is expected= to drop below 70% after the end of the year, when the property's third= -largest tenant, legal services firm Sheppard Mullin Richter, vacates follo= wing the expiration of their lease, Morningstar reported. 

<= span style=3D"font-family: Times New Roman, Times, serif;">Loan agreements = often include requirements about the level of occupancy a property must mai= ntain.  

"The transfer to special servicing enables us to begin d= iscussions about a path forward for the loan and building," a Brookfie= ld Properties spokesperson told Bisnow in an email.  

<= span style=3D"font-family: Times New Roman, Times, serif;">Though special s= ervicing is often a sign that a property is on the road to distress, it can= also be a step in a healthier direction for a troubled loan. A special ser= vicer can use a variety of strategies to ensure a positive outcome for lend= ers and borrowers.  

The lenders, Wells Fargo, Goldman Sachs, Morgan S= tanley and Citigroup, were anticipating losses on the debt in June 2023. Fi= tch Ratings reported at the time that the loan was a “heightened matu= rity default risk”, The Real Deal reported at the time.=   

Brookfield has had t= rouble with its Downtown LA office properties over the last few years, defa= ulting on loans worth more than $700M on two towers in early 2023. Both pro= perties, The Gas Company and EY Plaza, are now under the control of receive= rs.

 

If you would like to u= nsubscribe, please click here

= Jeff Tabor Group=A0| 501 W. Broadway, Suite 800=A0| San Diego=A0| CA | 9210= 1
--962ea1bd376d561cff622c80f0f65d1bcc181ec7cd5c476b9936ac16bfef Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset=iso-8859-1 Mime-Version: 1.0
=20

Good morning, Andrew.
<= br>Please see below…are you protected in the event of default on the= loan by your landlord? Do you have a rock solid Non Disturbance agreement = to protect your lease and security deposit in the event of landlord default= ? What about all the free rent you contracted for, tenant improvement monie= s and supposed “below market deal” you obtained last time? You = do know, right, that these, too, will all go away in the event of a landlor= d default?

Did your former broker who did your last lease protect yo= u here? 100%, I would suggest “No”. Going forward, I will and I= would. If you have a question or two as to how I would do this for you, pl= ease reach out…no strings.

Sincerely,
<= /tr>

Jeffrey A. Tabor<= /strong> – Founder/CEO
Jeff@JeffTaborGroup.com<= /a>
JeffTaborGroup.com
(800) 507-6673
RE License # 010152= 87

Connect with me on LinkedIn: Jeffrey A. Tabor




A $400M CMBS loan on B= rookfield Properties' Bank of America Plaza in Los Angeles has moved to= special servicing. The loan is set to mature in September.=

=

The loan has perform= ed since origination and the net cash flow at 333 South Hope St. over the l= ast full year was slightly above underwritten levels, according to a report= from Morningstar Credit.

But the 1.4M SF bu= ilding's occupancy has dropped below 80% and is expected to drop below = 70% after the end of the year, when the property's third-largest tenant= , legal services firm Sheppard Mullin Richter, vacates following the expira= tion of their lease, Morningstar reported.&= nbsp;

Loan agreements often include r= equirements about the level of occupancy a property must maintain.  

&= quot;The transfer to special servicing enables us to begin discussions abou= t a path forward for the loan and building," a Brookfield Properties s= pokesperson told Bisnow in an email. &= nbsp;

Though special servicing is oft= en a sign that a property is on the road to distress, it can also be a step= in a healthier direction for a troubled loan. A special servicer can use a= variety of strategies to ensure a positive outcome for lenders and borrowe= rs.  

The lenders, Wells Fargo, Goldman Sachs, Morgan Stanley and Citi= group, were anticipating losses on the debt in June 2023. Fitch Ratings rep= orted at the time that the loan was a “heightened maturity default ri= sk”, The Real Deal reported at the time.  

Brookfield has had trouble with its= Downtown LA office properties over the last few years, defaulting on loans= worth more than $700M on two towers in early 2023. Both properties, The Ga= s Company and EY Plaza, are now under the control of receivers.

<= p> 

If you would like to unsubscribe, please click here

= Jeff Tabor Group=A0| 501 W. Broadway, Suite 800=A0| San Diego=A0| CA | 9210= 1
3D"= --962ea1bd376d561cff622c80f0f65d1bcc181ec7cd5c476b9936ac16bfef--