Two of the buildings that make up Market Center in the 1600 block of Market Street. (Thomas Gounley/BusinessDen)
Foreclosure proceedings have been initiated for the Market Center office and retail complex in downtown Denver a month after a receiver was appointed to oversee it.
It’s the fifth major downtown office property to enter foreclosure since the pandemic began.
The 121,000-square-foot complex at 1624-1660 Market St. is owned by Seattle-based Urban Renaissance Group. It consists of five adjacent buildings, all three or four stories, that were constructed between 1887 and 1902.
Office space comprises 85,000 square feet of Market Center. The remainder is retail space.
URG purchased Market Center in September 2015, paying $29.7 million, records show. In June 2022, the company took out a $27 million loan against the property from Oconee Real Estate Holdings, an affiliate of New York-based Voya Financial.
URG defaulted on the loan last month when it failed to make an on-time October payment, according to Voya. Steve Schwab of Cushman & Wakefield was named receiver for the building on Oct. 17.
Voya submitted paperwork on Nov. 7 to foreclose on the complex. In it, the lender said URG still owes $22.9 million in principal on the loan. Attorney William Meyer of Polsinelli is representing the lender.
URG declined to comment.
The other downtown buildings that have entered foreclosure since 2020 are the Denver Energy Center complex at 1625-1675 Broadway, The 410 at 410 17th St., Trinity Place at 1801 Broadway and 700 17th St.
The foreclosure proceedings for Trinity Place and 700 17th St. are ongoing. Denver Energy Center is now owned by lender Chase Bank after no one else bid in a 2022 foreclosure auction. The 410, meanwhile, has a new owner as of April, after its loan sold for a fraction of the building’s previous purchase price.
The owners of a number of other downtown office buildings have also defaulted on their loans. Those lenders could elect to initiate foreclosure proceedings at any time, but have not yet opted to do so.
Read more: Troubled towers: Breaking down Denver’s distressed office properties
Two of the buildings that make up Market Center in the 1600 block of Market Street. (Thomas Gounley/BusinessDen)
Foreclosure proceedings have been initiated for the Market Center office and retail complex in downtown Denver a month after a receiver was appointed to oversee it.
It’s the fifth major downtown office property to enter foreclosure since the pandemic began.
The 121,000-square-foot complex at 1624-1660 Market St. is owned by Seattle-based Urban Renaissance Group. It consists of five adjacent buildings, all three or four stories, that were constructed between 1887 and 1902.
Office space comprises 85,000 square feet of Market Center. The remainder is retail space.
URG purchased Market Center in September 2015, paying $29.7 million, records show. In June 2022, the company took out a $27 million loan against the property from Oconee Real Estate Holdings, an affiliate of New York-based Voya Financial.
URG defaulted on the loan last month when it failed to make an on-time October payment, according to Voya. Steve Schwab of Cushman & Wakefield was named receiver for the building on Oct. 17.
Voya submitted paperwork on Nov. 7 to foreclose on the complex. In it, the lender said URG still owes $22.9 million in principal on the loan. Attorney William Meyer of Polsinelli is representing the lender.
URG declined to comment.
The other downtown buildings that have entered foreclosure since 2020 are the Denver Energy Center complex at 1625-1675 Broadway, The 410 at 410 17th St., Trinity Place at 1801 Broadway and 700 17th St.
The foreclosure proceedings for Trinity Place and 700 17th St. are ongoing. Denver Energy Center is now owned by lender Chase Bank after no one else bid in a 2022 foreclosure auction. The 410, meanwhile, has a new owner as of April, after its loan sold for a fraction of the building’s previous purchase price.
The owners of a number of other downtown office buildings have also defaulted on their loans. Those lenders could elect to initiate foreclosure proceedings at any time, but have not yet opted to do so.
Read more: Troubled towers: Breaking down Denver’s distressed office properties
