Orchard Road in Greenwood Village is turning into Foreclosure Lane.
The four-story, 146,000-square-foot office building at 7800 E. Orchard Road entered foreclosure this month, following on the heels of the two structures to the west.
The building, known as Orchard Falls, is owned by an affiliate of Denver-based Toma West, which bought it in April 2014 for $25.8 million, or $176 a square foot, according to public records.
Toma West also owns the 700 17th St. tower downtown, which entered foreclosure in August.
The firm financed the Orchard Falls acquisition with a $19 million loan from New York-based Ladder Capital. Wilmington Trust is now acting as trustee of the loan.
In filing for foreclosure, the lender said that Toma West still owes $16.33 million in principal on the original 2014 loan.
In an email, Kenneth Grant, Toma West’s founder and president, said the firm was “working on new terms with loan.” He said it was a maturity default, meaning the Toma West didn’t pay off the note in full when the note came due.
Vacancy is not a major problem at Orchard Falls, according to CoStar, which shows the building as 91.5 percent leased. Tenants include Community Banks of Colorado, which is based there, along with Bonneville International radio stations KYGO and KOSI. The structure was built in 1982 by late developer John Madden and renovated in 2011, per a LoopNet listing.
The lender has not asked the court to appoint a receiver to run the property, as often happens before foreclosure is initiated.
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Attorney Craig Schuenemann of Bryan Cave Leighton Paisner, who is representing the lender, did not respond to a request for comment.
Just to the west of Orchard Falls, across Greenwood Plaza Boulevard, is Harlequin Plaza, owned by Seattle-based Unico Properties. That 330,000-square-foot office complex entered foreclosure earlier this month.
Next to Harlequin Plaza, meanwhile, is the 170,000-square-foot Solarium office building, which was sold at foreclosure auction on Oct. 2.
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