KOIN Tower misses mortgage payment (Jack Bog's Blog)

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This page contains a single entry from the blog posted on July 25, 2009 1:23 PM. The previous post in this blog was Smarter than the average bear. The next post in this blog is Power to the people, right on. Many more can be found on the main index page or by looking through the archives.

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Saturday, July 25, 2009

KOIN Tower misses mortgage payment

Another example of the Pearl District sucking the life right out of downtown:

FPS missed its monthly mortgage payment due July 10, New York Life alleges. Twelve days later, the insurance company filed the lawsuit in Multnomah County Circuit Court.
What factors played into the missed mortgage payment or New York Life's rapid response are unclear. Neither Commonwealth nor New York Life Insurance officials could be reached for comment.

FPS' revenue from the KOIN Center took a hit late last year when Portland law firm Ater Wynne vacated the top 2.5 commercial floors, about 50,000 square feet. Ater Wynne moved to a new office building in the Pearl District.

There's more to this story than meets the eye, but high-rise real estate in Portland is clearly imploding. No tears shed here.

Posted at 1:23 PM | Permalink

Comments (8)

Now you are on to it.

Next is to buy the downtown core for $.30 on the dollar and then the whole show is yours.

Who would have ever guessed such a Goldschmidt opportunity might occur?

Posted by Abe | July 25, 2009 6:35 PM

Welcome to the commercial properties portion of this hell ride.

Posted by Bill McDonald | July 25, 2009 6:46 PM

Wow, 12 days to declare default. Lenders are not very patient are they? Which s fine, they'll screw themselves anyways by forcing the issue.

Posted by Steve | July 25, 2009 7:57 PM

Commercial landlords are nervous all over the area. I notice that my office rent checks get cashed the very next day - that hasn't happened to me in over 15 years. It's hard not to notice the growing number of vacant office spaces and storefronts in downtown Portland.

Posted by Dave A. | July 25, 2009 10:40 PM

It's hard not to notice the growing number of vacant office spaces and storefronts in downtown Portland.
JK: WOW, just think how bad it would be if we hadn't re-built the transit mall.

Thanks
JK

Posted by jim karlock | July 26, 2009 12:07 AM

"Commercial landlords are nervous all over the area."

I think it is more the lenders leaning on landlords.

For example, that building up on MLK Mr Bog profiled that went into default - wasn't for missed payments. It was for debt coverage (i.e. the bldg wasn't generating enough income to pay the loan, even if the guy was making up the diff out of pocket.

Posted by Steve | July 26, 2009 8:47 AM

qui sont de très bons amis

Posted by ktunnel | July 26, 2009 10:16 AM

Good one JK

Posted by Ben | July 26, 2009 9:35 PM