Wilmington Trust National Association v. Nakash Lincoln LLC (Hotel Lincoln CMBS Foreclosure)
Wilmington Trust National Association, acting as CMBS trustee, sued Nakash Lincoln LLC and Lincoln 1816 LLC on August 14 in the Circuit Court of Cook County, seeking to foreclose on the $25.4 million mortgage secured by Hotel Lincoln, a 184-room boutique property overlooking Lincoln Park Zoo at 1816 North Clark Street. The loan matured on March 6, 2026 without repayment and was transferred to special servicing weeks later; the Nakash family, founders of Jordache Enterprises, bought the hotel for $73 million in 2016 from an entity tied to Neil Bluhm's Walton Street Capital.
Why it matters
The filing is the third Nakash-family commercial property to face lender foreclosure action in 2026, alongside a Wells Fargo suit over 40,000 square feet of Midtown Manhattan retail and a default on a Miami Beach hotel loan, illustrating how a single sponsor's capital strain can surface as parallel, uncoordinated foreclosure filings across unrelated assets and jurisdictions. CMBS special servicers and hospitality lenders should treat a maturity default as a potential signal of a borrower's broader distress rather than an isolated credit event.
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