Thor hit with $22.9M pre-foreclosure suit at 470 Broadway in Soho, 3rd suit since 2019

A special servicer for Thor Equities’ defaulted loan secured by the 6,600-square-foot retail property 470 Broadway in Soho filed to foreclose on the loan, citing $22.9 million in principal, unpaid interest and protective advances. This is the third pre-foreclosure suit filed against Thor Equities since 2019.

A judge last month ordered that Thor’s 115 Mercer Street two retail condos, with a total of $49 million in a default judgment, be sold at auction. PincusCo reported that today.

The plaintiff for the 470 Broadway loan, a CMBS trustee, filed to foreclose on October 11, 2021.

Retail has suffered broadly prior to Covid and throughout the pandemic. PincusCo tracked retail three properties in the last five months that were turned over to their lenders. 

Thor bought the building in October 2007 for $15.5 million. The most recent loan, $20.5 million, was given in July of 2012. The total unpaid debt was calculated in the court filing at $22.9 million, composed of $18.066 million in unpaid principal, unpaid interest totaling $2.6 million and protective advances totaling $2.3 million.

The special servicer reported the value of the asset had fallen sharply, according to an article in The Real Deal from August 2021.  The report said the value had declined from $29.2 million to $5.6 million over the past nine years, citing information from data firm, Trepp.

Thor provided a comment to The Real Deal: “While we believe in the future of New York City and that retail will bounce back, we’ve been very focused on the growth of our life sciences and industrial real estate divisions, Thor Sciences and ThorLogis, over the past six years,” said Katie Smith, a spokesperson for Thor Equities.

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