Additional Articles & Resources
Rialto Capital Advisors, Eastview Mall’s special servicer, has collected approximately $10 million in fees from the property over the past three years as Eastview’s ownership has sought a path to extend or refinance its existing debt. The articles and resources below provide important context on how special servicing works, the forces behind Eastview’s current financial challenges and why Victor 2040 believes the current structure is not serving the mall, its lenders or the Victor community.
Carl Icahn goes to war against Rialto, CMBS servicers
The Real Deal | June 24, 2022
Investor Carl Icahn sued Rialto Capital over its handling of a distressed shopping center in Nevada. The lawsuit alleges that Rialto delayed the property’s sale, influenced appraisals and collected millions of dollars in fees and expenses while the property remained in distress.
The complaint alleges “breach of servicing standards for self-gain by Rialto” and accuses the company of “brazen and egregious misconduct servicing a commercial mortgage loan,” including putting “its own interests ahead of Trust investors.” The loan at issue is also part of Eastview Mall’s CRE-4 pool.
The allegations are disputed, and the case remains pending in court.
November 11, 2026: Wilmorite Responds to Legal Claims Regarding Eastview Mall
Read Wilmorite’s formal response to the Nobember 2026 letter from Holland & Knight regarding Eastview Mall. The letter addresses the issues raised and provides additional context on the ongoing legal dispute.
Pyramid Management Group and Sangertown Square Mall
Instagram | October 2026
Pyramid Management Group, is facing foreclosure proceedings involving Sangertown Square mall in New Hartford after the company defaulted on a $53.4 million mortgage held by Wells Fargo. The video provides background on the lawsuit, Pyramid’s broader financial challenges and the potential impact on the Syracuse-based mall operator.
A Second Investor, 400 Capital, Has Also Accused Rialto of Improper Servicing
The Real Deal | January 28, 2026
400 Capital Management sued Rialto Capital, alleging the special servicer improperly kept a $130 million commercial loan in distress while collecting additional fees and default interest.
Five Ratings Lowered and Three Affirmed on DBWF 2015-LCM Mortgage Trust
S&P Global Ratings | May 11, 2026
Lakewood Center, a large regional mall in California, was transferred to special servicing after reaching a loan maturity. The property was later sold for $320.7 million, approximately 49% below its original $630 million appraisal.
Eastview Mall’s Eminent Domain Battle: What Happens Next?
Rochester Business Journal | October 29, 2026
The Town of Victor’s plan to use eminent domain to acquire five Eastview Mall parcels is facing a legal challenge from lenders who say the move would undermine their rights to recover a $210 million mortgage debt and benefit the mall’s owner, Wilmorite. Town officials argue the acquisition would protect local jobs, tax revenue and the mall’s long-term future, setting up a legal battle over who will control the property and fund future improvements
Eastview Mall loan back to special servicing, another extension requested
Rochester Business Journal | September 19, 2024
Eastview’s $210 million loan returned to special servicing after reaching its maturity date. The story reviews the loan’s history, previous extensions and modifications, and the significant decline in Eastview’s appraised value since 2012.
Appraised value of Eastview Mall and Eastview Commons falls
Rochester Business Journal | November 28, 2022
Eastview Mall and Eastview Commons saw their combined appraised value fall from $368 million in 2012 to $101 million in 2022. The story examines the $210 million loan on the property and the broader decline in mall values across the country.
Quantifying Value Destruction in Regional Malls
EisnerAmper | October 27, 2021
An analysis of 62 regional mall loans examines the significant decline in mall property values across the United States. The report looks at valuation trends among performing, delinquent and foreclosed properties and the factors contributing to those declines.
KBRA Affirms All Ratings for GSMS 2013-PEMB
KBRA | September 30, 2026
Pembroke Lakes Mall in Florida remains under special servicing following the maturity of its $260 million loan. The property’s value has fallen substantially since the loan was issued, creating a significant gap between the mall’s current value and outstanding debt.
As new stores arrive, Wilmorite navigates loan extensions on malls
Rochester Business Journal | August 11, 2025
New retailers and other changes continue to take place at Eastview Mall as Wilmorite works through the property’s financing challenges. The story covers Eastview’s updated appraisal, loan extension and recent tenant additions.
CMBS and Conflicts of Interest: Evidence from a Natural Experiment on Servicer Ownership
Maisy Wong, University of Pennsylvania | March 2016
The paper examines potential conflicts of interest involving special servicers in the commercial mortgage-backed securities (CMBS) market. Using data on thousands of commercial real estate loans, the research looks at what happened when several major special servicers changed ownership and found higher losses and lower sale prices for loans handled by those servicers after the ownership changes. The paper also examines how relationships with affiliated lenders, brokers and other service providers can create potential conflicts of interest.