Core Insights - A $63.5 million loan backed by a Texas portfolio has entered special servicing following the appointment of a receiver, indicating potential issues with the properties involved [1][2] Company Overview - Nitya Capital, founded by Swapnil Agarwal, is the borrower for the loan backing the Muse in Dallas and Eden Pointe in Houston [2] - The Muse property, built in 1969 and renovated in 2018, is one of the largest communities in the Dallas metro with 804 units and an average unit size of 926 square feet [4][5] - Eden Pointe, a 197-unit garden-style multifamily property, was built in 1972 and renovated in 2019 and 2020, with an average unit size of 1,028 square feet [5][6] Financial Performance - The loan for the properties was originated in October 2023, with an appraisal value of $97.6 million at that time [3] - The 2024 net cash flow for the properties is projected to be 11% above initial expectations, supported by strong occupancy rates [3] Operational Issues - Agarwal stated that the properties are not entering special servicing due to performance issues but rather due to code violations at the Muse, which are being addressed [3][4] - Nitya has invested approximately $1.5 million in renovations for the Muse and $1.4 million for Eden Pointe since their acquisitions [4][6] Management - KPM Property Management is responsible for managing both properties, as indicated on their respective websites [6]