NYC CRE pre-foreclosure filings fall in 2023 to $3.2B

The dollar volume of New York City commercial real estate pre-foreclosure filings fell in 2023 by 7 percent to $3.2 billion from $3.5 billion the year before. That was despite nearly $1 billion in filings in August 2023.

The largest filing of the year was a $750 million pre-foreclosure at 20 Times Square from August, which has since been discontinued after Hana Financial Group took control of the fee interest in the property from Maefield Development.

The next largest pre-foreclosure was in November, when German lender Aareal Capital and California-based PCCP filed a $149.3 million pre-foreclosure action at Stephen Meringoff and Jay Shidler’s 462 Broadway in SoHo. The third-largest was in March, when the special servicer for a $125 million CMBS loan provided to a joint venture of Fortress Investment Group, Global Holdings Management Group, Zeckendorf Development and Madison Capital, which owns the 84,240-square-foot retail condominium at 15 Central Park West in Lincoln Square, Manhattan.

Of the 329 pre-foreclosure actions filed last year, 277 of them were for under $10 million, and of those, 234 were under $5 million.