RCA in the commercial property press:

Kushner's 666 Fifth Goes To Special Servicer

The Real Deal reports: The $1.215 billion securitized loan secured by the Kushner Companies iconic Midtown office building at 666 Fifth Avenue was transferred to special servicing yesterday as part of an effort to restructure the loan, a company spokesperson told The Real Deal in a statement.

Kushner bought the building, located between 52nd and 53rd streets, for $1.8 billion from Tishman Speyer Properties in January 2007, at the time the highest price ever paid for an office building.

"The transfer of the 666 Fifth Avenue loan was done at the request of Kushner Companies, so that it could more easily engage in productive discussions with the lender. The loan is not currently in default," the statement said.

Peter Slatin, editorial director of New York-based research firm Real Capital Analytics said the move was part of a trend in owners seeking to reduce their debt.

"They are clearly hoping to take advantage of the increasing willingness of lenders to restructure to avoid what could be a challenging situation since they not only bought at the top of the market, they defined the top of the market," Slatin said.

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Posted by: Nina Turner

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