Tweet
from Boston.com After shelling out nearly $80 million for a downtown Washington office building in 2007, right around the peak of the commercial real estate price bubble, the Mortgage Bankers Association is bailing out big time, The Wall Street Journal reports.
The trade group has sold its 10-story Washington headquarters for $41 million after shelling out $79 million for it three years ago. All but $5 million of that was financed.
It gets better, for its not clear the Mortgage Bankers Association will pay off all of the roughly $30 million it still owes its lenders on the trophy office building, just a few blocks from the White House, the Journal reports.
On top of that, giant commercial landlord Tishman Speyer is battling in court with the MBA, contending the trade group still owes $1 million after breaking an earlier lease to move into its now clearly massively overpriced headquarters.
Like so many struggling homeowners who bet badly on the market, the Mortgage Bankers Association will now become a renter, not an owner.
The trade group has sold its 10-story Washington headquarters for $41 million after shelling out $79 million for it three years ago. All but $5 million of that was financed.
It gets better, for its not clear the Mortgage Bankers Association will pay off all of the roughly $30 million it still owes its lenders on the trophy office building, just a few blocks from the White House, the Journal reports.
On top of that, giant commercial landlord Tishman Speyer is battling in court with the MBA, contending the trade group still owes $1 million after breaking an earlier lease to move into its now clearly massively overpriced headquarters.
Like so many struggling homeowners who bet badly on the market, the Mortgage Bankers Association will now become a renter, not an owner.
Comment