$40 Million Non-Performing Office Loan

Attributes

Loan status

Non-Performing

Unpaid principal balance

CA$55,365,440

Maturity date

03/26/2025

Year built

1985

Year renovated

1988

Buildings

Floors

Rentable area

27,562 sm

Land area gross

5.1 ha

Occupancy

87.2%

Parking spaces

962

Zoning

Industrial

Call for offers

05/15/2025

Asset description

Jones Lang LaSalle (“JLL”) has been retained on an exclusive basis by the Seller to arrange the sale of a $40 million non-performing office loan (the “Loan”). The Loan is secured by a leasehold mortgage on a two-building office property in Waltham, MA (the “Collateral” or “Property”). The $43 million Loan was originated in March 2021 and features a floating interest rate of SOFR + 2.75%. With an initial maturity date in March 2024, the Loan went non-performing as a result of a maturity default in March 2025. As of March 2025, the Loan has a current unpaid principal balance of $40 million.

The Collateral comprises two, six-story office buildings constructed in 1985/1988 and is positioned on a 12.6-acre site. The Property features 296,673 square feet of net rentable area and is subject to a ground lease. Located in Boston’s Route 128 corridor, the Property benefits from its close proximity to Interstate 95, Interstate 90, and an MBTA commuter rail station. As of March 2025, the Property was 87.2% occupied.

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Investment highlights

Path to Ownership

The non-performing Loan provides investors with a potential path to title at a favorable basis.

Strong Tenancy and Leasing Momentum

The Property is 87.2% occupied with a diverse tenant base and positive leasing momentum.

Advantageous Location

The Property benefits from its strategic proximity to Brandeis University and Bentley University, which have a combined 10,000 students, as well as its convenient location adjacent to an MBTA commuter rail station.

Comprehensive Amenities

Tenants enjoy access to a full suite of amenties including a fitness center and on-site cafe with a full kitchen.