The $5.2 million loan on the U.S. Geological Survey regional headquarters that was securitized in JPMCC 2010-C2 is 30-days delinquent, according to a report from Royal Bank of Scotland.
The loan’s last payment was made on Feb. 1 and is two months of advances are outstanding. The 36,047 square feet. Austin, TX office property has a single government tenant with a 68% LTV ratio and DSCR of 1.59.
The loan is being monitored for delinquency. In terms of the per cash management, there have been legal issues with pulling the payments as a result of the single tenant being a government tenant.
RBS analysts said they expect this delinquency to cure without the deal suffering any loss. The U.S. Treasury is working to resolve these issues. The delinquency, analysts said, is primarily for technical reasons and analysts are still positive about the credit risk of CMBS 2.0.
JPMCC 2010-C2 has one other loan on the servicer watchlist. The $14.3 million Ivyridge Shopping Center loan was placed on the watchlist after The Great Atlantic & Pacific Tea Co. (A&P) filed for bankruptcy in December 2010, explained analysts.
The largest tenant Superfresh was not on the list of stores to be closed. The borrower is not aware of any changes to the Superfresh lease as a result of the A&P bankruptcy.