LNR files $100M pre-foreclosure alleging Queens Place Mall loan in default

LNR Partners on behalf of bondholders of the CSAIL 2018-CX12 Commercial Mortgage Trust, on Friday filed a $100 million pre-foreclosure action in New York State Supreme Court in Queens County, alleging the loan secured by a 227,764-square-foot retail condominium unit at Queens Place Mall, with the address 88-15 Queens Boulevard, in Queens, was in a payment default. Madison International Realty, led by Ronald Dickerman, is the owner of the property.

The building is divided into two commercial condominium units. One is owed by Madison International Realty, and another, which is not a party to the lawsuit, is approximately 234,650 square feet, and is owned and occupied by retailer Target.

Case 702179/2026 LINK

According to the complaint: “On or about April 12, 2018, Natixis Real Estate Capital LLC, a Delaware limited liability company (“Original Lender”), made a loan to Borrower in the original principal amount of$ 100,000,000.00 (the “Loan”)… By letter dated August 20, 2025, Lender notified Borrower it had defaulted under the loan documents by failing to pay all amounts when due thereunder…” The loan has a maturity date of May 5, 2028.

The Commercial Observer reported in 2018 when Madison International Realty obtained the $100 million loan from Natixis.

The 2018 financing was divided into an A note for $42 million and B note for $58 million and a $10 million mezzanine loan, according to a prospectus for the securitization.  A portion of the senior debt was securitized by Credit Suisse and Natixis as CSAIL 2018-CX12 Commercial Mortgage Trust, Commercial Mortgage Pass-Through Certificates

The prospectus said, “In December 2017, the sponsor reached an agreement with Forest City to acquire the remaining 51% equity stake in the portfolio. The sponsor’s allocated purchase price for the Queens Place Property was $158.9 million, which implies remaining equity of $38.1 million….”

On a vacant portion of the lot, a Cushman & Wakefield property manager in 2022 filed plans for a 130-unit residential building. Those plans have not been permitted as of publication.

The property

The property in Elmhurst, including both condo units, has 542,990 square feet of built space according to a PincusCo analysis of city data. The city-designated market value for the property in 2022 is $89.5 million.

Violations and lawsuits

According to city public data, the property has not received any significant violations in the last year.

The property was involved in one lawsuit and zero bankruptcies over the past two years. The suit was a $100 million commercial foreclosure concerning a loan filed on January 23, 2026, by Series 2018-CX12 and LNR Partners against Madison International Realty.

The neighborhood

In Elmhurst, The bulk, or 40 percent of the 19.8 million square feet of commercial built space are elevator buildings, with mixed-use buildings next occupying 21 percent of the space. In sales, Elmhurst has near average sales volume among other neighborhoods with $278.6 million in sales volume in the last two years and is the 9th highest in Queens. For development, Elmhurst has near average amount of major developments among other neighborhoods and is the 11th highest in Queens. It had 599,341 square feet of commercial and multi-family construction under development in the last two years, which represents 3 percent of the neighborhood’s built space.

The block

On the tax block, there was one new building construction project filed totaling 102,968 square feet. It is a 130-unit, 102,968 square-foot residential (R-2) building submitted by Madison International Realty and filed by Sal Ariganello · Managing Director at Cushman & Wakefield with plans filed November 4, 2022 and it has not been permitted yet.

The surrounding

Within a 400-foot radius of 89-34 Justice Avenue, PincusCo identified one commercial real estate item of interests occurred over the past 24 months. It was a loan which Ashkenazy Acquisition borrowed $6.3 million from Customers Bank secured by the 10,220-square-foot, one-unit retail building (K7) on 89-01 Queens Boulevard on May 16, 2025.

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