Current Report · Items 6.02 · 8-K
Morgan Stanley Capital I Trust 2019-L3
Change of Servicer or Trustee
Item 6.02 – Change of Servicer or Trustee. Effective as of September 21, 2026, Argentic Services Company LP, a Delaware limited partnership (“ASC”), will act as the special servicer for the ILPT Industrial Portfolio mortgage loan and each related pari passu and/or subordinate promissory note (collectively, the “Applicable Loan Combination” and ASC in such capacity, the “ILPT Special Servicer”), wh…
Disclosure sections
Item 6.02Item 6.02 - Change of Servicer/Trustee
Item 6.02 – Change of Servicer or Trustee.
Effective as of September
21, 2026, Argentic Services Company LP, a Delaware limited partnership (“ASC”), will act as the special servicer for
the ILPT Industrial Portfolio mortgage loan and each related pari passu and/or subordinate promissory note (collectively, the “Applicable
Loan Combination” and ASC in such capacity, the “ILPT Special Servicer”), which is serviced under the pooling
and servicing agreement for the MSC 2019-L3 securitization (the “Applicable PSA”), replacing Situs Holdings, LLC as
special servicer for such loan combination. ASC was appointed at the direction of Blue Owl Real Estate Debt Advisors LLC, the applicable
directing certificateholder under the Applicable PSA. As special servicer for the Applicable Loan Combination, ASC will be responsible
for the servicing and administration of such Applicable Loan Combination if it becomes specially serviced (and the servicing and administration
of any related REO property) and processing and performing certain reviews of material actions with respect to such Applicable Loan Combination
when it is not specially serviced. Servicing of the Applicable Loan Combination will continue to be governed by the Applicable PSA.
ASC maintains its principal
special servicing office at 740 E. Campbell Road, Suite 600, Richardson, Texas 75081 and its telephone number is 469-609-2000.
ASC currently has a commercial
special servicer rating of “CSS2-” by Fitch, a commercial loan special servicer rating of “Above Average” by S&P
and a Morningstar DBRS Commercial Mortgage Special Servicer Ranking of MOR CS2.
ASC, formed in 2019, began
operations in early 2020 and is a limited partnership ultimately controlled by, and majority-owned by, funds managed by Elliott Investment
Management L.P. and its affiliates (collectively, “Elliott”). As of December 31, 2025, Elliott manages approximately
$79.8 billion in assets. Certain key employees of ASC and Argentic Investment Management LLC (“AIM”) retain a minority
stake in ASC ownership. In addition to being affiliates of Elliott and AIM, ASC is an affiliate of (i) ES Ventures Holding, Inc., the
entity expected to be directing certificateholder and (ii) Steamboat CMBS LLC, the third party purchaser.
The following table sets
forth information about ASC’s total portfolio of named special servicing for commercial and multifamily mortgage loans as of the
dates indicated:
Named Special Servicing 12/31/2023 12/31/2024 12/30/2025 As of 6/30/2026
─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
By Approximate Number 1,346 1,458 1,778 1,801
By Approximate Aggregate Unpaid Principal Balance (in billions): $31.51 $38.16 $50.50 $56.05
As of June 30, 2026,
ASC had thirty-three (33) employees responsible for special servicing of commercial mortgage loans, including its senior management team
averaging over 36 years of industry experience. ASC was named special servicer on 93 securitized pools (89 commercial mortgage-backed
securities pools and 4 collateralized loan obligation pools) including 1,801 loans secured by 2,811 properties with an unpaid balance
of
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approximately $56.05 billion as of June
30, 2026. As of June 30, 2026, ASC was actively managing 60 commercial mortgage-backed securities loans, secured by 86 properties (including
21 REO properties) with an approximate unpaid balance of $2.49 billion.
ASC uses a cloud hosted,
web browser interface, special servicing and asset management system as its system of record (“RealINSIGHT”). RealINSIGHT
is a full-function loan and real estate underwriting, asset management, data and document repository, credit surveillance and reporting
system that supports the start-to-finish, life cycle management of performing and distressed asset portfolios, special servicing and risk
management. RealINSIGHT with its enhanced features for managing servicing, risk and compliance processes has the following features: various
communication mechanisms (alerts, messages, notifications), standard action and resolution reports/templates (including asset status reports
and consent memoranda), industry standard reports (including the industry standard special servicing loan and property data files and
liquidation templates), the ability to build custom reports and models including dashboards and analytics, structured guidance to build
workflows and action plans, recordkeeping modules for document, vendor management, and geographic mapping.
ASC has its own watch
list and surveillance reports to monitor monthly CREFC® IRP reports produced by the master servicer in comparison to ASC’s internal
reports using RealINSIGHT to identify degradation of performance or other potential transfer events. Although ASC’s internal watch
list criteria overlaps with CREFC®’s portfolio review guidelines in some instances, ASC’s criteria are more conservative
and broader in order to not overcomplicate or restrict any watch list determinations. ASC revises and enhances its watch list criteria
as necessary to ensure “early detection” of potential collateral or borrower issues.
ASC has a shared services
agreement with AIM wherein AIM provides certain non-servicing support functions and non-personnel services to ASC. These areas of support
include legal, finance, human resource services and information technology. As required, ASC engages vendors for third party services
pertaining to, among other things, (i) the preparation of appraisals, inspections, surveys, title updates or policies, and environmental
and property condition reports, and (ii) actions and decisions for legal issues, property management, listing, leasing, brokerage, tax
appeal, REO insurance and operating information analysis.
ASC has detailed operating
policies and procedures (including templates and exhibits) which are formally reviewed on an annual basis, and adopts interim changes
as necessary to: (i) the extent required by applicable law or regulation including in accordance with the applicable servicing criteria
set forth in Item 1122 of Regulation AB under the Securities Act; (ii) maintain current industry best practices based on ASC’s participation
in various industry associations and its external communications with clients and other constituents; and (iii) address material changes
to its business or the overall business environment that it believes warrant a change to its policies and procedures. ASC has a documented
disaster recovery and business continuity plan. ASC does not have a stand-alone internal audit department. ASC has engaged a qualified
independent public accounting firm that is registered with the Public Company Accounting Oversight Board, and co-sources internal audit
functions.
ASC does not believe that
its financial condition will have any adverse effect on the performance of its duties under the Applicable PSA and, accordingly, will
not have any material impact on the performance of the Applicable Loan Combination or the Certificates.
ASC, in its role as a
special servicer, does not establish any bank accounts except for REO bank accounts as required pursuant to the transaction documents.
All such accounts will be established at financial institutions meeting the requirements of the related transaction documents. Funds in
such accounts will not be commingled.
In its capacity as special
servicer, ASC will not have primary responsibility for custody services of original documents evidencing the Applicable Loan Combination,
but may from time to time have custody of certain such documents as necessary for enforcement actions or otherwise. To the extent that
ASC has custody of any such documents for any such servicing purposes, such documents will be maintained in a manner consistent with the
servicing standard under the Applicable PSA.
ASC expects from time-to-time
to be a party to lawsuits and other legal proceedings as part of its duties as a special servicer (e.g., enforcement of loan obligations)
and/or arising in the ordinary course of its business. ASC does not believe that any such lawsuits or legal proceedings would, individually
or in the aggregate, have a material adverse effect on its business or its ability to service the Applicable Loan Combination pursuant
to the Applicable PSA. There are currently no proceedings pending and no legal proceedings known to be contemplated by
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governmental authorities, against ASC or of
which any of its property is the subject, which are material to the certificateholders.
No securitization transaction
involving commercial or multifamily mortgage loans in which ASC is acting as special servicer has experienced a servicer termination event
as a result of any action or inaction by ASC as special servicer. ASC has not been terminated as servicer in a commercial mortgage loan
securitization, either due to a servicing default or to application of a servicing performance test or trigger. In addition, there has
been no previous disclosure of material noncompliance with servicing criteria by ASC with respect to any other securitization transaction
involving commercial or multifamily mortgage loans in which ASC was acting as special servicer.
ASC may enter into one
or more arrangements with the applicable directing certificateholder, holders of certificates of the controlling class or any person with
the right to appoint or remove and replace the ILPT Special Servicer to provide for a discount and/or revenue sharing with respect to
certain of the special servicing compensation in consideration of, among other things, ASC’s appointment as ILPT Special Servicer
under the Applicable PSA and any related intercreditor agreement and limitations on such person’s right to replace the ILPT Special
Servicer.