Non-Performing Note Secured by a Prominent Pittsburgh Office Tower

Investment Highlights

• Rare low-leverage, non-performing, senior loan allowing pursuit of various asset resolution strategies
• Repositioning opportunity of a prominent high-rise office tower with spectacular skyline and water views
• Substantial value creation potential through lease-up of the ~40% vacancy
• Stable in-place cash flow, approximately 10% below market, backed by a diverse tenant roster with impressive 15.4 Y WAT in building
• Highly sought-after location offering high visibility, corporate identity, and tremendous access to retail, cultural, entertainment and mass transit
• Pittsburgh has emerged as a city with a robust economy focused on Technology, Artificial Intelligence, Advanced Manufacturing, Robotics, Professional and Business Services, Healthcare and Life Sciences, Energy and Research & Development

Offering Details

Newmark Knight Frank and RealINSIGHT Marketplace are pleased to present the opportunity to acquire Non-Performing senior loan secured by a 26-story, ~60% leased, office building located in Downtown Pittsburgh, PA. 

The Loan, originated on June 30, 2016 with July 6, 2021 maturity, carries a 5.60% coupon and a 10.60% (rate + 5.00%) default rate.  The opportunity presents investors the ability to acquire an attractive, low-leverage, non-performing loan secured by exceptional asset offering substantial value creation in Downtown Pittsburgh.

The Collateral is a prominent, strategically located high-rise office tower featuring outstanding views, conference facilities, bank branch and deli on ground level, 24-hour lobby security, on-site tenant storage, loading dock, superior building standards, high-grade carpeting, full height, solid core wood doors and parabolic fluorescent lay-in light fixtures.  The Property is within walking distance of numerous public parks, garages, Wood Street and Steel Plaza T Stations and close to the Duquesne Club as well as a number of downtown restaurants and hotels.