The complaint alleges that 1215 Brook LLC failed to make monthly payments of principal and interest and did not keep the property in good repair, as required by the loan documents. Wilmington Trust claims these failures triggered acceleration provisions, making the entire outstanding debt immediately due. As of October 1, 2025, the unpaid principal balance is stated as $5,861,536.14, with additional interest, default interest, fees, and costs accruing.
According to the complaint, Wilmington Trust sent a notice of default to the borrower and guarantors on August 22, 2025, demanding cure by September 5, 2025. After the borrower did not cure the defaults, Wilmington Trust sent an acceleration letter on September 9, 2025, formally notifying the borrower of the default, accelerating the debt, and revoking the borrower’s license to receive, collect, and make use of rents, profits, and income from the property.
Wilmington Trust is seeking a court order to foreclose on the property, appoint a receiver, and direct that all rents, issues, and profits from the property be paid to the lender. The complaint also requests that the court declare Wilmington Trust’s lien as the first and best on the property and grant the lender immediate possession. Wilmington Trust seeks legal expenses, costs, and fees, and reserves the right to pursue a deficiency judgment against the borrower and guarantors if the foreclosure sale does not satisfy the full debt.
The complaint states that Wilmington Trust remains in exclusive possession of the original loan documents and has not transferred them to any other party. The lender also reserves the right to seek other relief, including a temporary injunction or the appointment of a receiver on an ex parte basis, as permitted by the loan documents.
While these are claims made by Wilmington Trust and have not yet been proven in court, the case offers a detailed look at the enforcement tools available to trustees and servicers of commercial mortgage-backed securities when a borrower defaults. For mortgage professionals, the case illustrates the importance of strict adherence to loan terms, the role of special servicers, and the complex remedies available in commercial lending.