Shihao Feng
The New York office market is propped up with refinancings in the first two months of 2026.
The senior mortgage, accompanied by another $45m mezzanine loan facility, is being used to fund the acquisition and privatization of Sotherly Hotels.
Analysts expect to see more data center mortgages securitized through the CMBS market as properties reach post-construction stabilization.
As distressed office properties continue to reach resolutions, lenders see financing opportunities amid increasing sale transactions.
Tim Johnson, global head of Blackstone Real Estate Debt Strategies, outlined the opportunity set around loan sales in the market today.
The San Francisco-based investment manager is collateralizing the deal with loans tilt toward multifamily, industrial and retail assets across 15 states.
The US private-label CMBS market continues to be driven by large-ticket transactions.
The sector completed 77 deals in November and December, outperforming the second most competitive sector by 47 deals.
"The likelihood of significantly lower mortgage rates this year has decreased as rate cuts by the Fed are less likely,” says orthmarq Capital's Ernie DesRocher.
The investment manager approved data center loans last year, but its activity was largely focused on logistics and living rather than financing data center technology.