REAlert.com reports that Wachovia has engaged Eastdil Secured to shop a couple of defaulted mortgages secured by two stabilized apartment complexes in Atlanta.
One of the loans, with an unpaid balance of $27.6 million, is secured by the 242-unit Icon apartments, while the other, with a principal balance of $26.6 million, is backed by the 231-unit Park District complex.
Market players expect the loans to fetch about $47 million combined, a discount of a little more than 10% of face value. Wachovia, which was acquired by Wells Fargo a year and a half ago, has tapped affiliate Eastdil Secured to market the loans, which can be purchased together or separately.
The two garden-style complexes were built by Lane Co. of Atlanta as part of Atlantic Station, a 138-acre mixed-use development that AIG Global Real Estate began in 2002. Lane defaulted on the mortgages when they matured last December. A successful bidder would likely foreclose, though Lane could be retained to manage the apartments on a fee basis. Both properties are 90% occupied, and 20% of the units are classified as affordable housing.
This is not the first project in Atlantic Station to go REO. Starwood Property now controls the Atlantic Residences, through their ownership of the $164 million mortgage secured by the 46-story condo tower This mortgage was acquired last year, as part of Starwood’s $4.5 billion Corus Bancshares loan portfolio partnership with the FDIC.
In April, the Atlanta Business Chronicle reported that Eastdil was marketing Towne Center at Atlantic Station, a 586,000 square foot chunk of the retail component of project.
This deal is rumored to be in the “best and final” bidding round and has garnered international attention from a variety of investors.
[...] Others include the 25-story office tower, 271 Seventh Street and two mid-rise apartment deals, Icon and Park District, both developed by Lane Company. Eastdil Secured is also marketing these assets on behalf of AIG [...]
[...] appears CBRE Investors has taken down the last chunk of Atlantic Station. Last July, we reported that Wachovia had engaged Eastdil Secured to shop several apartment loans secured by two [...]