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Receiver appointed to manage troubled Century Building

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The historic Century Building downtown has been placed in the hands of a court-appointed receiver as a lender seeks to foreclose on the property.

Marion Superior Court Judge Robyn Moberly last week appointed locally based DTM Real Estate Services LLC to manage the seven-story building at 36 S. Pennsylvania St.

U.S. Bank filed in February to foreclose on the building owned by Century Building Investment Group LLC, a unit of California-based Blue Real Estate, claiming it’s owed $10.5 million on a loan default.

The building, built in 1901, is the corporate home of Steak n Shake, ExactTarget and Denison Parking.

Blue Real Estate, which entered the Indianapolis market as an investor in 2006, lost most of its local holdings last year after lenders took control of several properties.

U.S. Bank claims in its Century Building foreclosure suit that Blue received a loan in December 2006 from original lender Countrywide Commercial Real Estate Finance Inc. in the amount of $8.5 million.

U.S. Bank assumed the loan in June 2008, and alleges in its suit that Blue defaulted on the loan when it started missing payments in July 2011.

The unpaid principal on the mortgage still is $8.5 million, or nearly the total amount of the original loan. But U.S. Bank is seeking $10.5 million, including interest charges and payment penalties.

The Century Building contains 115,526 square feet of rentable space, ranking it as the 19th-largest office building in downtown Indianapolis, according to IBJ research.

The latest figures available show the building was 89-percent occupied at the end of 2011.

Receiver DTM Real Estate Services, at 1 N. Meridian St., will be paid $5,750 per month, or 3.5 percent of the building’s gross monthly revenue, to manage the building, according to court documents.

 

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  1. The east side does have potential...and I have always thought Washington Scare should become an outlet mall. Anyone remember how popular Eastgate was? Well, Indy has no outlet malls, we have to go to Edinburgh for the deep discounts and I don't understand why. Jim is right. We need a few good eastsiders interested in actually making some noise and trying to change the commerce, culture and stereotypes of the East side. Irvington is very progressive and making great strides, why can't the far east side ride on their coat tails to make some changes?

  2. Boston.com has an article from 2010 where they talk about how Interactions moved to Massachusetts in the year prior. http://www.boston.com/business/technology/innoeco/2010/07/interactions_banks_63_million.html The article includes a link back to that Inside Indiana Business press release I linked to earlier, snarkily noting, "Guess this 2006 plan to create 200-plus new jobs in Indiana didn't exactly work out."

  3. I live on the east side and I have read all your comments. a local paper just did an article on Washington square mall with just as many comments and concerns. I am not sure if they are still around, but there was an east side coalition with good intentions to do good things on the east side. And there is a facebook post that called my eastside indy with many old members of the eastside who voice concerns about the east side of the city. We need to come together and not just complain and moan, but come up with actual concrete solutions, because what Dal said is very very true- the eastside could be a goldmine in the right hands. But if anyone is going damn, and change things, it is us eastside residents

  4. Please go back re-read your economics text book and the fine print on the February 2014 CBO report. A minimum wage increase has never resulted in a net job loss...

  5. The GOP at the Statehouse is more interested in PR to keep their majority, than using it to get anything good actually done. The State continues its downward spiral.

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