REO Monitor: Block 37, Chicago

November 20th, 2009  ::  Posted by CRE Console

Courtesy Flickr Creative Commons user akasped

The Wall Street Journal reports that Bank of America has filed a lawsuit alleging that Joseph Freed & Associates has defaulted on their Block 37 project. While many lenders prefer to drag their feet, Bank of America has decided to take a different stance in this instance.

According to the article, Freed took over the project from the Mills Corporation in 2007. Currently 55% occupied, the developer expects to have 72% of the retail space leased by the end of the year. Bank of America says that the developer currently owes around $135 million on the project and “does not have the capital to resolve the financial imbalance and complete the project.” The bank has requested that the court appoint CB Richard Ellis as receiver.

2 Responses to “REO Monitor: Block 37, Chicago”

1. CRE Console - Blog says:

   December 2, 2009 at 11:40 am

   [...] NY Times Dealbook just posted an update on the Block 37 saga. On the verge of opening its doors, a Cook County Circuit Court judge appointed CBRE as receiver [...]
2. REO Update: Block 37, Chicago - CRE Console Blog says:

   October 13, 2010 at 3:58 pm

   [...] of America filed to foreclose on the property back in November of last year and CB Richard Ellis was assigned as the receiver a [...]