Special servicer Hatfield Philips has enforced a £172 mln (EUR 202 mln) loan which relates to five City of London properties. The £172 mln remaining AMG Portfolio Loan, part of the Windermere VIII CMBS plc securitisation, matured in April 2010 and was put into administration by the Royal Court of Guernsey on 16 November.
Special servicer Hatfield Philips has enforced a £172 mln (EUR 202 mln) loan which relates to five City of London properties. The £172 mln remaining AMG Portfolio Loan, part of the Windermere VIII CMBS plc securitisation, matured in April 2010 and was put into administration by the Royal Court of Guernsey on 16 November.
Hatfield Philips International said it took the decision to move to administration following a failure to agree an 'acceptable restructuring of the loan' with the borrower.
The property assets of the AMG Portfolio Loan are 52-56 Leadenhall St, 49 Leadenhall St, 109-114 Fenchurch St, 100 Fenchurh St, 9-13 Fenchurch St in the City of London. The principal balance of the loan at origination on 11 April 2006 was about £331 mln. The current balance is about £172 mln with the loan maturing on 15 April 2010.
Hatfield Philips said it has been striving to find a consensual way forward with the borrowers since the loan matured in April. Following a comprehensive due diligence process, a detailed proposal was put forward to the borrowers which allowed continued ownership in exchange for partial paydown and a deleveraging of the lenders positions, according to Europe's largest independent Primary and Special Servicer. Hatfield Philips services over £35 bn of securitised and conduit loans across Europe.
Philip Byun, vice president, Hatfield Philips, added: 'The decision to file for administration was not taken lightly. After several months of negotiation, a consensual way forward could not be achieved.
'Our goal is to maximise the recoveries for all lenders and in cooperation with our advisor (Cooke & Powell) and joint administrator (Mark Batten and Stephen le Page of PricewaterhouseCoopers CI), we will now be implementing our strategy which will include driving substantial business plans for the five buildings and exploring the prevailing strong interest in these assets with third parties.'