Uptown landlord Harwood International is struggling to wash its hands of office distress that’s plagued its namesake district for nearly a year.
Harwood is facing its third office foreclosure this year with Harwood No.1, at 2651 North Harwood Street, heading to the auction block next month, according to Roddy’s Foreclosure Listing Service.
Harwood borrowed $37.45 million from First United Bank for the 105,550-square-foot property in 2020. The debt works out to $355 per square foot.
The auction is scheduled for Nov. 4 at 10 a.m. at the Dallas County Courthouse. It’s possible that Harwood and First United could work out a loan extension to avoid the sale. Harwood didn’t respond to TRD’s request for comment in time for publication.
As its name suggests, Harwood No. 1 was the firm’s first office development, built in 1984 for Rolex. In April, the building was just 54.1 percent leased.
The foreclosure comes six months after Harwood handed back the keys to Harwood No. 4 and 10 months after a last-minute recapitalization deal saved Saint Ann Court (Harwood No. 6) from foreclosure.
The Dallas-based developer allegedly defaulted on an $80 million mortgage tied to Harwood No. 4, a 20-story, 221,000-square-foot office building at 2828 North Harwood Street. San Francisco-based Spear Street Capital took back that 221,000-square-foot property in a $73 million credit bid.
Saint Ann Court, a 25-story office building at 2501 North Harwood Street, was set to be auctioned on Jan. 7, but Harwood reached a deal with Life Company to recapitalize the property. With the fresh financing, Harwood repaid its $138 million mortgage.
Read more
What’s going on with major Uptown office landlord Harwood?
Harwood International scores recapitalization deal for Uptown HQ
Harwood International unveils plans for 23-story Dallas office tower
