Rialto files $30M pre-foreclosure at Olshan Properties retail, rentals in Lenox Hills
205 East 60th Street, 207 East 60th Street, 209 East 60th Street and 211 East 60th Street (Credit - Cyclomedia)
Rialto Capital Advisors on behalf of a securitized loan trust, filed a $30 million pre-foreclosure action yesterday in New York State Supreme Court alleging a loan with an original principal of $35 million and secured by Olshan Properties’ retail and residential assets in Lenox Hill, was in a maturity default. The loan, held by WFRBS Commercial Mortgage Trust 2014-C20, Commercial Mortgage Pass-Through Certificates, Series 2014-C20, is secured by the large retail condominium unit along Third Avenue at the base of the condo building 200 East 61st Street, and four small residential rental buildings, 205 East 60th Street, 207 East 60th Street, 209 East 60th Street and 211 East 60th Street.
Court filings represent the position of one party and are not necessarily accurate or complete.
Case LINK
Olshan Properties, founded by the late Morton Olshan, refinanced the properties in 2014 with a $35 million loan from Rialto Capital Advisors through the entity Rialto Mortgage Finance. The loan matured March 6, 2024, but, according to the complaint, it was not paid down.
Morton Olshan, who the complaint says was the guarantor on the loan, died in early 2025, and no replacement guarantor is identified.
According to the complaint, the lender alleges a maturity default: “Borrower failed to make the payment required on the maturity date of the Loan on March 6, 2024 …There is now due and owing from Borrower and Guarantor, as guarantor, to Plaintiff, unpaid principal in the amount of $30,635,460.31,”
This is the second pre-foreclosure filed against the property owner. In July, the Community Preservation Corporation filed a $23.5 million pre-foreclosure, 850320/2025, against Olshan Properties and Morton Olshan alleging defaults on debt at 385 Ft Washington Avenue and 395 Ft Washington Avenue.
Direct link to the property’s 205 East 60th Street ACRIS page
Direct link to the property’s 207 East 60th Street ACRIS page
Direct link to the property’s 209 East 60th Street ACRIS page
Direct link to the property’s 211 East 60th Street ACRIS page
Direct link to the property’s 200 East 61st Street Comm ACRIS page