Presidio Property Trust faces loan default on Dakota Center

Published 14/03/2025, 22:08
Presidio Property Trust faces loan default on Dakota Center

SAN DIEGO, CA – Presidio Property Trust, Inc. (SQFT), a real estate investment trust with a market capitalization of $7.64 million and currently trading at $0.61 per share, has encountered a financial setback with the default of a substantial loan. According to InvestingPro data, the company’s overall financial health score is rated as WEAK. On March 13, 2025, the company was notified of a maturity date default on a loan with an original principal amount of $11.1 million, which was documented by a promissory note dated June 9, 2014.

The loan in question is secured by the Dakota Center, located in Fargo, North Dakota. In response to this development, Presidio is actively collaborating with the lender and a special servicer to facilitate the sale of the property and resolve the non-recourse debt.

Due to the default, the company now faces the obligation to pay an increased default interest rate, which is 5% higher than the original rate. Additionally, Presidio is responsible for covering the lender’s related expenses, which encompass fees for third-party reports, legal services, and loan servicing.

This financial obligation has come to light through a recent 8-K filing with the Securities and Exchange Commission by Presidio Property Trust, Inc. The company has not disclosed further details regarding the potential impact on its financial position or operations.

Investors and stakeholders are keeping a close watch as Presidio Property Trust navigates this challenge, with the outcome of the property sale and debt settlement likely to influence the trust’s financial stability moving forward.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.