$79.3 Million Non-Performing CMBS Loan Portfolio

Jones Lang LaSalle (“JLL”) has been retained by the Seller, a CMBS Special Servicer, on an exclusive basis to arrange the sale of a $79.3 million non-performing loan portfolio (the “Loans” or “Portfolio”). The Portfolio includes six (6) first-lien mortgages and deeds of trust collateralized by Hospitality assets totaling 1,022 keys located across five (5) states. The Portfolio presents an opportunity to buy COVID-affected, non-performing hotel loans directly from the Special Servicer at scale. The Portfolio is comprised of 100% fixed-rate Loans, which carry a WA Coupon of 5.29% and have a WA Seasoning of 80 months. All Loans were structured with amortization, and 37.48% of the Portfolio by balance, has amortized 10% or more from its original balance. All Loans are currently non-performing as a direct result of COVID-19 disruption. The offering provides investors the opportunity to acquire a sizable Portfolio of currently distressed hotel loans with diversity in location, service type and loan size. The Seller will consider bids for (i) any individual Loan, (ii) any combination of Loans, or (iii) the Portfolio in its entirety.

• CRITICAL MASS - The Portfolio provides a unique opportunity for investors to acquire a diverse set of non-performing loans secured by covid-affected hotel assets at scale, with the ability to proceed to enforce lender’s rights and remedies as seen fit.
• COVID AFFECTED - The Loans performed Pre-COVID, which portends to a quicker recovery and return in performance levels upon vaccine rollout, national re-openings and continued rollback of COVID restrictions. The portfolio had a Pre-COVID Debt Yield of 11.8% and DSCR of 1.51x.
• ATTRACTIVE BASIS - The Portfolio’s unpaid principal balance sits at an attractive basis of $77,605 per key, with 33.2% of the Portfolio by balance below $75,000 per key.
• ACCELERATING LOANS - 59.6% of the Portfolio is listed as 90+ Days Past Due, followed by 40.4%, which is over 60 Days Past Due.