Jeff Sutton’s Soho retail condo was just dealt a staggering valuation hit. The retail portion of 599 Broadway was reappraised at $32 million, according to Morningstar Credit. That’s an 80 percent decline from the property’s 2018 valuation of $150 million. The sharp drop comes as the property faces mounting distress. A trustee representing CMBS bondholders sued Tuesday to foreclose on the mortgage, alleging the landlords stopped making debt payments in January.  The debt traces back to a $75 million commercial mortgage-backed securities loan tied to the retail condo spanning the basement and first three floors of the 12-story building. The […]

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