$26.4 Million Class-A Office Loan | Baltimore, MD

Attributes

Building area net

325,340 sf

Occupancy

76%

Year built

1989

Year renovated

2021

Loan status

Sub-Performing

Loan Purpose

Acquisition

Call for offers

10/07/2025

Description

Jones Lang LaSalle (“JLL”) has been retained on an exclusive basis by the Seller to arrange the sale of a $26.4 million non-performing office loan (the “Loan”). The Loan is secured by a first-lien mortgage on the fee simple interest in a 325,340 square foot office property in Baltimore, MD (the “Collateral” or “Property”). The Loan was originated in November 2017 and had a total commitment of $28.7 million with a fully extended maturity date in October 2022. The Loan was subsequently extended several times and currently has a maturity date in October 2025. As of August 2025, the Loan is sub-performing⁽¹⁾ and has a current unpaid principal balance of $26.4 million.

The Collateral comprises a 325,340 square foot class A office building that was constructed in 1989, renovated in 2021, and positioned on a .50-acre site. The Property features a significant concentration of credit tenants expected to deliver approximately $20 million in cash flow over the next eight years, along with additional amenities including a restaurant, multi-level indoor parking garage, and locker room/fitness center. As of May 2025, the Property was 76% occupied with a WALT of 6.4 years.

The offering presents investors the opportunity to acquire the Loan at a favorable basis, significantly below replacement cost, with a potential deed-in-lieu ownership transfer.

(1) Imminent maturity default

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Investment highlights

Path to Ownership

The non-performing loan provides investors with the potential opportunity to step into the ownership position at an attractive basis.

Credit Tenancy

The property is anchored by numerous government credit tenants, providing predictable rental income and reduced credit risk.

Substantial Cash Flow

Without assuming speculative leasing or renewals, the property is projected to generate approximately $20 million in positive cash flow over the next eight years.

Leasing Opportunities

There are multiple outstanding leases that are in the final stages of negotiation and will further enhance the property’s cash flow profile upon execution.