---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-24-001948"
form_type: "8-K"
ticker: "PRSI"
cik: "0000079661"
company_name: "PORTSMOUTH SQUARE INC"
filed_at: "2024-01-10T23:59:59+00:00"
generated_at: "2026-06-07T01:09:26.724461+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.8
calibrated_materiality_score: 0.8
confidence: "high"
source: SEC EDGAR
---

# Portsmouth Square's subsidiary receives $97M loan default notice; lenders can accelerate or foreclose

## Summary
- On Jan 4, 2024, Justice Operating Company received a notice of default on $97M in loans from institutional lenders.
- The default triggers lenders' rights including acceleration of loans and foreclosure on collateral.
- Company engaged Hart Advisors Group in Sep 2023 for loan modifications; proposed terms under review by special servicer LNR Partners.
- No assurance negotiations will resolve in Justice's favor; lenders' rights are not limited by these discussions.

## SEC filing metadata
- accession: 0001493152-24-001948
- form_type: 8-K
- ticker: PRSI
- cik: 0000079661
- company_name: PORTSMOUTH SQUARE INC
- filed_at: 2024-01-10T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.8
- calibrated_materiality_score: 0.8
- confidence: high
- sec_items: 2.04, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/79661/000149315224001948/0001493152-24-001948-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/79661/000149315224001948/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-24-001948
- JSON: https://secwatch.observer/filing/0001493152-24-001948.json
- Plain text: https://secwatch.observer/filing/0001493152-24-001948.txt

## Key facts
- Debt Financings
  PORTSMOUTH SQUARE INC reported a default on loan of $97 million with various institutional lenders.
  - Instrument: loan
  - Principal: $97 million
  - Counterparty: various institutional lenders
  - Event: default
  source text: On January 4, 2024, Portsmouth Square, Inc. (the “Issuer”or the “Company”) was made aware of a notice of default (the “Notice”) issued to Justice Operating Company, LLC, which is the wholly owned subsidiary of Portsmouth Square, Inc. (“Justice”) and received by Justice as of that date. The Notice states that the $97 million principal amount in loans made to Justice by various institutional lenders, known as Loan No.: M300801016 / Reference No.: SS57524 and Loan No.: M300801015 / Reference No.: SS57523, are in default.
  evidence_url: https://www.sec.gov/Archives/edgar/data/79661/000149315224001948/0001493152-24-001948-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.