Office · Palo Alto, California
Sap Building
Sap Building is financed with a $21.2M CMBS loan at 6.583% that reaches maturity on March 5, 2027, in 4 months. As of the Sep 2026 servicer report, the latest filed for this loan, its status is with the special servicer and 90+ days delinquent.
The loan
- Balance in tracked trusts
- $21,172,080
- Original balance (same notes)
- $24,130,276
- Interest rate
- 6.583% fixed
- Originated
- February 7, 2017
- Maturity
- March 5, 2027
- Payments
- Interest only for 64 months, then amortizing
- Prepayment lockout ends
- January 4, 2027
- Master servicer
- Trimont LLC
- Originator
- Natixis Real Estate Capital LLC
Status
- Payment status
- 90+ days delinquent (code 3)
- Special servicing
- Transferred October 12, 2022
- Workout strategy
- Foreclosure
- Advancing
- The servicer has stopped advancing on this loan (non-recoverable)
- Defeasance
- None reported
The property
- Address
- 3408 Hillview Avenue, Palo Alto, CA 94304
- Metro
- San Jose-Sunnyvale-Santa Clara, CA
- Rentable area
- 56,279 sq ft
- Built
- 1977, renovated 2013
- Largest tenants
- SAP LABS, LLC
- Value at securitization
- $54.4M (Jan 2017)
Performance
| At securitization | Latest (Mar 2026) | |
|---|---|---|
| DSCR (NOI) | 2.58x | -0.17x |
| Occupancy | 100% | n/a |
| Net operating income (annualized from 3 months) | $3.8M | $-515K |
| Debt yield | -2.4% |
Debt yield here is the latest NOI divided by the balance held in the trusts below. If part of the loan sits outside them, the true figure is lower.
Watch flags
Computed from the CITIGROUP COMMERCIAL MORTGAGE TRUST 2017-P7 filing for the reporting period ending September 10, 2026, filed with the SEC September 30, 2026.
- With the special servicer
- 30+ days delinquent or matured unpaid
- Coverage below 1.00x
- Coverage down 0.25x or more from securitization
- NOI down 20% or more from securitization
- Matures within 12 months
- Servicer stopped advancing
On the cmbs.news watch list in all 11 monthly reports we hold (October 2025 to September 2026).
cmbs.news's own rule-based labels on the filed fields (definitions), not a credit rating, a prediction or a view of the borrower.
What the filing shows
- Net operating income is 114% below the underwritten figure ($-515K a year against $3.8M; the latest statement covers 3 months, annualized).
- Debt service coverage moved from 2.58x at securitization to -0.17x on the latest statements.
- At -0.17x, the property's reported NOI does not cover its debt service.
- The most recent valuation in the filing is $14.3M (January 1, 2026), against $54.4M at securitization.
- The filing gives Jul 2022 as the lease end date for the largest tenant (SAP LABS, LLC), before the loan matures. Lenders look hard at that rollover.
The last 11 monthly reports
| Report month | Balance | Payment status | Special servicer | DSCR | Occupancy |
|---|---|---|---|---|---|
| September 2026 | $21.2M | 90+ days delinquent | Yes | -0.17x | n/a |
| August 2026 | $21.2M | 90+ days delinquent | Yes | -0.17x | n/a |
| July 2026 | $21.2M | 90+ days delinquent | Yes | -0.20x | n/a |
| June 2026 | $21.2M | 90+ days delinquent | Yes | -0.20x | n/a |
| May 2026 | $21.2M | 90+ days delinquent | Yes | -0.20x | n/a |
| April 2026 | $21.4M | 90+ days delinquent | Yes | -0.20x | n/a |
| March 2026 | $21.4M | 90+ days delinquent | Yes | -0.20x | n/a |
| February 2026 | $21.4M | 90+ days delinquent | Yes | -0.20x | n/a |
| January 2026 | $21.4M | 90+ days delinquent | Yes | -0.16x | n/a |
| November 2025 | $21.4M | 90+ days delinquent | Yes | -0.16x | n/a |
| October 2025 | $21.4M | 90+ days delinquent | Yes | -0.16x | n/a |
From each trust's ABS-EE filing for that month. Coverage and occupancy change only when the servicer reports new statements. If one trust holding a piece of the loan skipped a month, that month's balance reads low.
Special-servicing history
- Transferred to the special servicer October 12, 2022, still there.
Transfer and return dates as reported in the filings of the past year; an earlier episode shows here only if a filing in that year still reports it.
Where the loan sits
One trust holds this loan in the data.
| Trust | Loan no. | Balance | Report period | Source |
|---|---|---|---|---|
| CITIGROUP COMMERCIAL MORTGAGE TRUST 2017-P7 | 18 | $21,172,080 | Sep 2026 | SEC filing, September 30, 2026 |
Other San Jose-Sunnyvale-Santa Clara loans due in 2027
| Property | Location | Type | Balance | Rate | Matures | DSCR | Occ. | Status |
|---|---|---|---|---|---|---|---|---|
| Moffett Gateway | Sunnyvale, CA | Office | $173.4M | 3.319% | Apr 2027 | 2.42x | 98% | Current |
| Moffett Place Google | Sunnyvale, CA | Office | $171.3M | 4.55% | Jan 2027 | 1.40x | 100% | Current |
| Moffett Towers II - Building 2 | Sunnyvale, CA | Office | $153.1M | 3.619% | Dec 2027 | 2.76x | 100% | Current |
| Moffett Place Building 4 | Sunnyvale, CA | Office | $88.3M | 3.637% | Aug 2027 | 2.45x | 100% | Current |
| 675 Creekside Way | Campbell, CA | Office | $83.4M | 3.69% | Mar 2027 | 2.91x | 100% | Current |
| 2851 Junction | San Jose, CA | Office | $58.1M | 4.14% | May 2027 | 1.97x | 100% | Current |
| Sprouts Farmers Market | San Jose, CA | Retail | $50.5M | 3.97% | May 2027 | 2.82x | 100% | Current |
| Torre Plaza | Cupertino, CA | Office | $45.0M | 3.861% | Jun 2027 | 2.20x | 100% | Current |
All loans maturing in 2027 · All San Jose-Sunnyvale-Santa Clara loans
Source: each trust's ABS-EE asset-data exhibit (Regulation AB Schedule AL) on SEC EDGAR, reporting period ending September 10, 2026. Servicers report these figures; cmbs.news does not audit them. How this page is built.