The Cherry Creek Plaza I and II buildings in Glendale as seen in March 2020. (BusinessDen file)
Two office buildings in Glendale are now in the hands of a lender following a foreclosure auction.
Phoenicia Real Estate Holdings foreclosed on the Cherry Creek Plaza I and II buildings at 600 and 650 S. Cherry St. on Oct. 2, according to Arapahoe County records.
The lender, which declined to comment through its attorney, initiated the foreclosure process in June.
The largely identical Cherry Creek Plaza buildings are both 13 stories, and about 335,000 square feet combined.
Losing ownership of the building was Florida-based TerraCap Management, which bought them on March 10, 2020 for $54.6 million, with the help of a $45.6 million loan from Chicago-based NXT Capital. Phoenicia described itself in foreclosure paperwork as the “current holder of the evidence of the debt.”
Phoenicia submitted a credit bid of $29 million for the buildings, records show. That’s slightly more than half the 2020 sale price — and $6.2 million less than the amount still owed on the original loan.
When TerraCap bought them, the company said occupancy was 73 percent, factoring in a full-floor tenant that was about to exit. As of this June, CoStar showed Cherry Creek Plaza I as 65 percent leased and Plaza II as 60 percent leased, with about 5 percent of that being marketed for sublease.
TerraCap’s other Denver-area office holdings include Denver Corporate Center II and III in the Denver Tech Center, bought in 2019 for $72 million.
Read more: Troubled towers: Breaking down Denver’s distressed office properties
The Cherry Creek Plaza I and II buildings in Glendale as seen in March 2020. (BusinessDen file)
Two office buildings in Glendale are now in the hands of a lender following a foreclosure auction.
Phoenicia Real Estate Holdings foreclosed on the Cherry Creek Plaza I and II buildings at 600 and 650 S. Cherry St. on Oct. 2, according to Arapahoe County records.
The lender, which declined to comment through its attorney, initiated the foreclosure process in June.
The largely identical Cherry Creek Plaza buildings are both 13 stories, and about 335,000 square feet combined.
Losing ownership of the building was Florida-based TerraCap Management, which bought them on March 10, 2020 for $54.6 million, with the help of a $45.6 million loan from Chicago-based NXT Capital. Phoenicia described itself in foreclosure paperwork as the “current holder of the evidence of the debt.”
Phoenicia submitted a credit bid of $29 million for the buildings, records show. That’s slightly more than half the 2020 sale price — and $6.2 million less than the amount still owed on the original loan.
When TerraCap bought them, the company said occupancy was 73 percent, factoring in a full-floor tenant that was about to exit. As of this June, CoStar showed Cherry Creek Plaza I as 65 percent leased and Plaza II as 60 percent leased, with about 5 percent of that being marketed for sublease.
TerraCap’s other Denver-area office holdings include Denver Corporate Center II and III in the Denver Tech Center, bought in 2019 for $72 million.
Read more: Troubled towers: Breaking down Denver’s distressed office properties
