$112M pre-foreclosure filed on Chetrit’s Hotel Bossert
The securitized lender, CF Trust 2019-BOSS, for a $112 million loan provided in 2019, filed a pre-foreclosure suit on the Chetrit Group’s 187,200-square-foot Hotel Bossert project at 98 Montague Street, which sits on a 15,600 square foot lot in Downtown Brooklyn.
The total due on the $112 million loan, according to the court filings, is $126.7 million. The Chetrit entity is 98 Montague LLC.
While this project is facing challenges, the Chetrit Group is moving forward with other assets. For example last month the family-led firm paid $78 million for a high-profile development site on the Lower East Side, and the month before that it signed a $290 million refinance for an office building in the Financial District.
Court filings are the position of one party and are not necessarily accurate or complete. The Chetrit Group has not filed response papers. Hotels have been hit particularly hard by the pandemic, and several have been returned to lenders.
There was a prior loan modification on July 29, 2021. Despite that the lender sent a letter dated December 29, 2021 that said the loan had matured and was in default, but it did not specify the maturity date.
According to the filing, “According to the records of Lender, the Note has matured pursuant to its terms and the unpaid principal balance, all accrued and unpaid interest (including, but not limited to, Default Interest) and all other amounts payable under the Loan Documents are now due and payable in their entirety (the “Defaults”).”
Direct link to Acris document. link