Filing Alert: The Bon Morro Chapter 11
The Bon Morro Files Chapter 11 in District of Massachusetts
Update (Nov. 3, 2025): A comprehensive case summary is now available for the Chapter 11 bankruptcy filing of The Bon Morro, LLC.
The Bon Morro, LLC and its debtor affiliates⁽¹⁾, a Boston, MA-based single-asset real estate debtor holding the ground lease to “The Bon,” a 451-unit mixed-use project at 1260 Boylston Street, filed for Chapter 11 protection on Nov. 2 in the U.S. Bankruptcy Court for the District of Massachusetts.
The filing was precipitated by an inability to refinance approximately $167.5 million in matured construction loans, including a $162.5 million senior mortgage, which the debtors attribute to the landlord, Boylston Kenmore 1260, LLC, refusing to amend "off-market" terms in the 99-year ground lease. The debtors state the landlord's refusal and "extortionary" demands, including a $1.5 million upfront payment, prevented a refinancing despite the project's high occupancy and positive net operating income.
The filing follows a July 2025 maturity default on the prepetition loans and a notice from the subordinated lender of a Nov. 6 UCC foreclosure sale of membership interests in the project's holding company. Concurrently with the filing, the debtors initiated an adversary proceeding against the landlord.
The company reports $100 million to $500 million in both assets and liabilities. The filing indicates that there will be funds available for distribution to unsecured creditors. The case number is 25-12379.
⁽¹⁾ DMP Scape Boylston LLC and The Bon Morro Holdings LLC.
Top Unsecured Claims
Key Parties
Counsel:
- Douglas R. Gooding
Choate, Hall & Stewart, LLP
Email: dgooding@choate.com
Signatories:
- Stephen Gray – Chief Restructuring Officer
Bondoro Insights is continuing to monitor this case and will provide further coverage as appropriate.
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