$26M in pre-foreclosure filings at City Skyline Realty rentals in Harlem

The trustees for four securitized commercial property loans totaling $26.2 million filed pre-foreclosure actions against the owners of the Harlem properties. The buildings are 174 West 137th Street, 507 West 139th Street, 510 West 148th Street and 505 West 161st Street, and are owned by affiliates of City Skyline Realty and Peterson Capital.

The largest loan, for $7.45 million, was secured by 174 West 137th Street. Douglas Peterson bought the building in April 2011 for $2.45 million. The walkup building with 21 residential units in Harlem has 17,550 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 50 feet and is 99 feet deep with a total lot size of 4,995 square feet. The zoning is R7-2 which allows for up to 3.44 times floor area ratio (FAR) for residential. The city-designated market value for the property in 2022 is $2.3 million. The borrowers obtained a $7.45 million loan in April 2018 from Arbor Realty Trust, which assigned it to Freddie Mac which assigned it to the commercial mortgage security Series 2018-SB54. Case LINK

The second loan was for $6.86 million, and secured by 507 West 139th Street. The borrowers obtained a loan on April 26, 2018 from Arbor Realty Trust through the entity Arbor Agency Lending, LLC, which assigned it to Freddie Mac, which assigned it to the commercial mortgage trust Series 2018-SB54, with Wells Fargo as trustee. According to the complaint, the “interest shall accrue at the rate of 3.950% per annum (the “Fixed Rate”) for the first 60 months (the “Fixed Rate Period”), and shall for the 180 months thereafter (the “Variable Rate Period”) be subject to change on the first day of every sixth month in accordance with the terms of the Note (the “Variable Rate”). Case LINK

The third loan was for $6.445 million and secured by 510 West 148th Street. According to the complaint, “Borrower is in default under the Loan Documents for, among other things, its failure to make timely monthly payments under the Loan Documents. Borrower has been in default since at least April 1, 2023… Pursuant to Section 1 of the Note, interest shall accrue at the rate of 3.950% per annum (the “Fixed Rate”) for the first 60 months (the “Fixed Rate Period”), and shall for the 180 months thereafter (the “Variable Rate Period”) be subject to change on the first day of every sixth month in accordance with the terms of the Note (the “Variable Rate”).” The walkup building with 20 residential units in Harlem has 14,490 square feet of built space according to a PincusCo analysis of city data. The parcel has frontage of 41 feet and is 99 feet deep with a total lot size of 4,162 square feet. The zoning is R6A which allows for up to 3 times floor area ratio (FAR) for residential with inclusionary housing. The city-designated market value for the property in 2022 is $1.5 million. Case LINK

The fourth loan was for $5.446 million and secured by 505 West 161st Street. The borrowers obtained a loan on April 26, 2018 from Arbor Realty Trust through the entity Arbor Agency Lending, LLC, which assigned it to Freddie Mac, which assigned it to the commercial mortgage trust Series 2018-SB54, with Wells Fargo as trustee. According to the complaint, the “interest shall accrue at the rate of 3.950% per annum (the “Fixed Rate”) for the first 60 months (the “Fixed Rate Period”), and shall for the 180 months thereafter (the “Variable Rate Period”) be subject to change on the first day of every sixth month in accordance with the terms of the Note (the “Variable Rate”). Case LINK

Direct link to the property’s ACRIS page and link to DOB NOW portal.