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ells Fargo has filed a preforeclosure suit against Savanna at 521 Fifth Avenue near Grand Central Terminal. The lender is seeking to sell the property to recoup losses after alleging that Savanna is past due on a $242 million loan backed by the building. The loan, which was part of a commercial mortgage-backed security, originally matured in June 2021 but received three extensions.

    The 39-story, 460,000-square-foot tower features office space, an Urban Outfitters store, and an Equinox gym. It is currently 77 percent occupied, with at least two floors available for lease. Equinox has a long-term lease through 2035. Wells Fargo is also attempting to work out the defaulted loan, which was transferred to special servicing in August.

    Savanna, one of New York City's largest office investors, has faced financial difficulties across its portfolio in recent years. The company has defaulted on debts and struggled to extend loans, including transferring a 40 percent stake in 110 William Street to its partner in June 2023.