Member News

Appraised Value for New Jersey Office Cut

According to July remittance data, the value of the property that backs the $40.3 million Becker Farm Road note has been revised down to $31.5 million. The loan, now past its May 2016 maturity date, makes up 7.57% of the colllateral behind WBCMT 2006-C26. At the moment, the loan is not carrying an appraisal reduction.

Located in Roseland, New Jersey, the 281,762 square-foot suburban office was previously appraised for $53.8 million at securitization in 2006. Earlier this year, the borrower requested an extension on the loan’s maturity date and the note was subsequently transferred to special servicing. Hoping to refinance the loan, the borrower is actively working on replacing and renewing current tenants at the property since there is significant impending rollover. CohnReznick LLP and KMPG, the property’s top two tenants, occupy 55.36% and 32.30% of the building’s square footage, respectively. KPMG holds a lease that runs through October 2017.

For the 2015 fiscal year, the property was 95% occupied with a DSCR of 1.45x

Compliments of Trepp LLC. – a member of the EACC NY