$12.9 Million Non-Performing Multifamily Loan | New York City, NY

Jones Lang LaSalle (“JLL”) has been retained on an exclusive basis by the Seller to arrange the sale of an $12.9 million non-performing multifamily loan (the “Loan” or “Note”). The Loan is secured by the mortgage on the fee simple interest in a 33-unit, elevator apartment building in New York City, NY (the “Collateral” or “Property”). In February 2025, the Loan went non-performing as a result of a maturity default and transferred to special servicing. In early 2026, Hilco Global was appointed by the court to serve as acting receiver. As of February 2026, the full legal amount owed is $12.9 Million.

Constructed in 2012, the Collateral is comprised of a seven-story apartment building located at the nexus of East Village and the Lower East Side. The apartments feature marble bathrooms, granite countertops and individual heating and cooling systems which are billed directly to the tenants. The Property benefits from a ten-year 421A tax abatement through June of 2026 with no affordable housing component. Additionally, the Property is statutorily exempt from Good Cause Eviction (“GCE”), allowing the next owner to capitalize on the spread between in-place rents and current market. As of February 2026, the Property was 75.8% occupied.

The offering presents investors with the opportunity of buying a non-performing Loan at a favorable basis, significantly below replacement cost with the option to buy the fee simple real estate through receivership.