)
The debt on a 21-story office tower known as the Wedbush Center on Wilshire Boulevard in Downtown has transferred to special servicing this month. Debt holder Cerberus Capital Management missed the March maturity date on a $128.4M CMBS loan tied to the property, according to a report from Morningstar Credit.
The property at 1000 Wilshire Blvd. had a net cash flow in 2023 of 45% below underwriting. It is also 75% occupied, Commercial Observer reported, a drop from 87% when Goldman Sachs issued the debt in 2018.
Those occupancy figures don't take into account that the building's namesake tenant, Wedbush Securities, has already made plans to vacate about 100K SF. The company will move into 20K SF in Pasadena after its lease expires in December.
Los Angeles’ rate of office CMBS delinquency dropped to 6.2% in January from 8.23% in December 2024, but the decline had more to do with an overall increase in loan volume than a meaningful resolution of distress, Bisnow reported in February.
)
)
)
)
)
)
)
)
)
)
)
)