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DistressRadar

by DistressedAsset.com

No. 5 · Tuesday, August 18, 2026

10-yr Treasury4.72%±0 bp w/w
5-yr Treasury4.38%−3 bp w/w
SOFR3.66%+3 bp w/w

Treasury par yields, Aug. 17 close (U.S. Treasury). SOFR, Aug. 17 (New York Fed).

This week: International Square's $450M loan passed its Aug. 10 maturity with no reported payoff; a lender is foreclosing on 124,000 sf of retail at Brightline's MiamiCentral station; and U.S. Bank asked a Denver court for a receiver at Republic Plaza.

The File

International Square: a $450M loan past maturity, a $323M implied value

International Square's Aug. 10 maturity came and went. DBRS's May 2025 implied value: $323M.

1825–1875 I St. & 1850 K St. NW, Washington, DC · Office

$450MLoan, matured Aug. 10
$323.3MMorningstar DBRS implied value
~139%Debt to that value
Owner
Tishman Speyer & ADIA
Loan
$450M (2016) · 3.615% · interest-only
Trust
BAMLL 2016-ISQR + conduit pieces
Size
1.16M sf office · built 1978–82
Next date
Not confirmed
International Square

What happened. The $450M loan on the three-building campus reached its Aug. 10 maturity without a reported payoff or refinancing. It had moved to special servicing effective May 7 after being flagged as an imminent maturity default as of March 26, and the special servicer has opened workout talks with the borrower.

The numbers. Morningstar DBRS's May 2025 implied value was about $323.3M, leaving debt at roughly 139% of value. That is about $127M short of the balance. Net cash flow was about $20.5M in 2024, roughly half the $39M underwritten in 2016.

The squeeze. The loan was interest-only for all 10 years, so none of the principal was paid down, and the 2016 refinancing took $41.3M of equity out for the owners. Occupancy fell from 94.2% at closing to 68.7% in 2022 and was back to 77% by September 2025. Then, in April, the Federal Reserve Board gave notice ending leases on suites that had been set to expire in 2029, according to a trade report. The Fed was the largest tenant at closing, with 390,233 sf.

What's next. No modification, extension or enforcement action has been reported. Besides the $370M in BAMLL 2016-ISQR, an $80M pari passu piece sits in several conduit trusts, and the loan is part of the CMBX.10 index.

Since thenOct. 30: October servicer reports showed the matured loan two months delinquent, with its resolution strategy still listed as "TBD."
The Radar

Eight situations to track

CriticalHighWatchStable
  • Foreclosure
    MiamiCentral Station retailMiami, FL · Retail

    $65M senior loan in foreclosure since July 30. The complaint alleges a missed $16M paydown and a missed $6M paydown, and it asks for a receiver.

  • Foreclosure
    Showboat ResortAtlantic City, NJ · Hotel

    $48.4M CMBS loan; the trustee filed to foreclose June 30 and is seeking a sheriff's sale of 475 rooms, the arcade and the garage.

    Since thenOct. 6: the trustee's summary judgment motion was set for a Nov. 6 hearing.
  • Foreclosure
    Auden BuffaloAmherst, NY · Student housing

    The lender alleges $32.5M of construction loans matured in January 2024 with all principal unpaid. It has filed to foreclose on the 481-bed property.

  • Receivership sale
    K&L Gates CenterPittsburgh, PA · Office

    $58.9M foreclosure judgment, and the tower is now 43% leased. The receiver's sale is on the market with no asking price.

  • Past maturity
    Republic PlazaDenver, CO · Office

    Complaint cites about $130M after a missed March 15 maturity. U.S. Bank sought a receiver around Aug. 11.

  • Special servicing
    85 Tenth AvenueNew York, NY · Office

    $396M CMBS loan sent to special servicing Aug. 12, ahead of its December maturity. Office occupancy was 89.9% in Q2.

  • Special servicing
    111 Livingston StreetBrooklyn, NY · Office

    $120M loan in special servicing since June 12. 2025 cash flow ran 75% below underwriting, and the building was 55% occupied.

  • Refinanced
    Design Center of the AmericasDania Beach, FL · Showroom/office

    $45M City National Bank of Florida loan closed Aug. 13, 21 months after Fortress took the campus with a $76M credit bid.

What happened

Manhattan. Cushman & Wakefield replaced SL Green as manager of Worldwide Plaza under the court receivership. The $940M senior loan is in foreclosure.

Bloomingdale, IL. A receiver now controls a Dick's Sporting Goods leasehold that secures a CMBS loan with $25.3M unpaid. The order was recorded Aug. 5.

Dates to watch
Oct
Republic Plaza: Bank of America's expected move-out
Nov 1
Dick's Sporting Goods Portfolio: original loan maturity
Dec
85 Tenth Avenue: $625M of mortgage debt matures

— The DistressedAsset.com editorial team

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