At a glance
- The loan was structured as a floating-rate, interest-only first-lien mortgage co-originated by Barclays and Morgan Stanley and issued in fall 2021 as BX 2021-21M Mortgage Trust, according to Commercial Observer.
- The collateral has shrunk to six properties totaling 1,842 units, including two in Seattle and complexes in San Antonio, Jonesboro, Ga., and Bradenton, Fla., according to The Real Deal, which first reported the special servicing.
- Blackstone has a three-month forbearance to sell the remaining assets, per Morningstar, which makes the exit a property sale rather than a refinancing.
A $1.3 billion Blackstone CMBS loan on Sun Belt apartments missed its October 2026 maturity and entered special servicing with a $517.7 million balance, according to a Morningstar Credit alert issued Oct. 19.
The loan was structured as a floating-rate, interest-only first-lien mortgage co-originated by Barclays and Morgan Stanley and issued in fall 2021 as BX 2021-21M Mortgage Trust, according to Commercial Observer.
The collateral has shrunk to six properties totaling 1,842 units, including two in Seattle and complexes in San Antonio, Jonesboro, Ga., and Bradenton, Fla., according to The Real Deal, which first reported the special servicing. At issuance the loan was secured by 21 properties and 6,671 units across Texas, Florida, Georgia, Washington, Colorado, South Carolina and Kansas.
Blackstone has a three-month forbearance to sell the remaining assets, per Morningstar, which makes the exit a property sale rather than a refinancing.
David Putro, an associate managing director at Morningstar, said the remaining properties are generating “slightly more” cash flow than they were underwritten at, according to special servicer commentary.
The balance has fallen faster than the unit count: the $517.7 million outstanding is roughly 40% of the original $1.3 billion, while the 1,842 remaining units are about 28% of the original 6,671. That leaves about $281,000 of loan balance per remaining unit.
Freddie Mac's multifamily delinquency rate reached a 20-year high of 0.64%, as we reported this month, but that series covers agency loans, not private-label CMBS.
The loan balance has shrunk faster than the apartments behind it
Share of the original 2021 deal remaining as of October 2026
Show as table
| Label | Value (%) |
|---|---|
| Loan balance outstanding | 39.8% |
| Properties | 28.6% |
| Units | 27.6% |
David Putro, an associate managing director at Morningstar, said the remaining properties are generating “slightly more” cash flow than they were underwritten at, according to special servicer commentary.
Reported by the Real estate debt desk from Commercial Observer, Morningstar Credit, The Real Deal and Fitch Ratings. Published . Corrections