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Stopped in their Tracks: Troubled CRE Projects
Ten real-estate projects the recession put on hold
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Block 37

Location: 108 N. State St., Chicago
Project: Mall with pedway access to CTA
Original Proposal:
In 2005, developer The Mills Corp. broke ground on a 400,000 square foot retail, entertainment and dining complex with office space, hotel and residential tower. The original plans included a CTA station under the complex.
Developer:
Court-appointed receiver, CB Richard Ellis Inc., took control of the development in January 2010.
Status:
278,000 sq ft retail and transit space opened November 2009, currently approx. 22% leased.
Photo Credit: CB Richard Ellis

Trump International Hotel and Tower

Location: 551 N. Fort Lauderdale Beach Blvd, Ft. Lauderdale
Project: $200 million, 24-story beachfront condo hotel with 298 units
Original Proposal: 525,000 square foot, 24-story tower with 274 luxury guest suites and five- story building with 24 additional units and hotel restaurant. Designed by architect Michael Graves, the original plans included a 5,000 square foot health club and spa, restaurant, concierge, valet, room service and 24-hour security.
Developer: SB Hotel Associates; Trump name licensed to developer
Status: Nearly complete, missed 2009 scheduled opening date. Foreclosure action taken in March 2010 by lender Corus Construction Venture.
Photo Credit: Michael Graves

Streets of Buckhead

Location: Peachtree Road and East Paces Ferry Road, Atlanta
Project: $1.2 billion, nine-acre luxury mixed-use development
Original Proposal: 500,000 square feet of luxury streetscape retail, restaurant space, luxurious high-rise estate homes and a world-class hotel
Developer: Ben Carter Properties
Status: Construction started in 2007 on a parking deck, two apartment towers and foundation for retail shops. Leases signed with Hermes, Van Cleef & Arpels. Developer is reportedly in talks with private investors to raise $200 million to resume work
Photo Credit: Ben Carter Properties

Echelon Resorts

Location: Las Vegas Strip
Project: $4 billion, 63-acre hotel/casino/entertainment/shopping
Original Proposal: Echelon Place would encompass four hotels featuring 5,300 guest rooms and suites connecting to 140,000 square foot casino, 25 restaurants and bars, pool and garden. In addition, the complex would house a 4,000-seat theater for major concerts and productions and a smaller 1,500-seat theater. The complex includes a 350,000 square foot retail promenade and an ExpoCenter for conventions.
Developer: Boyd Gaming (NYSE:BYD)
Status: Construction halted August 2008, no new target date scheduled.
Photo Credit: http://www.echelonresorts.com/

1 Hotel

Location: Second Avenue between Pine and Stewart Streets, Seattle
Project: $200 million, 23-story condo hotel
Original proposal: 10 floors of residences, an eco-friendly luxury hotel, restaurant and urban grocer, athletic club, day spa and parking garage for 800.
Developer: Starwood Capital Group
Status: Excavation of the site, which was a parking lot, began in June 2007 and stopped two months later. The developer reportedly later said it couldn’t get construction financing. In October 2009 Starwood Capital turned the site back into a parking lot.
Photo Credit: SIENNA ARCHITECTURE

Park Avenue West

Location: Southwest Park and Ninth Avenues, Portland
Project: 32-story tower
Original Proposal: $200 million mixed-use tower with office and retail space on bottom floors and luxury condos on top. At 515 feet tall, would be Oregon’s third tallest building.
Developer: TMT Development
Status: Construction started in 2008. Elevator shafts and utilities are in place to ground level. Plan scaled back 10 floors to 22-stories; construction halted in April 2009.
Photo Credit: TMT Development

Longwood Center

Location: Brookline and Longwood Avenues, Boston
Project: Biotechnology lab in Longwood Medical Area
Original Proposal: $300 million, 425,000 square foot life sciences building with labs, clinical and office uses.
Developer: National Development and Alexandria Real Estate Equities Inc
Status: Two buildings demolished, work stopped in November 2008. Developer looking for tenant commitment before obtaining financing.
Photo Credit: Elkus-Manfredi Architects

Longwood Center

Photo Credit: Elkus-Manfredi Architects

Xanadu

Location: Meadowlands, New Jersey
Project: 2.4 million square foot entertainment and shopping complex
Original Proposal: $2.3 billion complex housing more than 200 retail shops, restaurants, a 17-screen movie theater, indoor ski slope, skydiving wind tunnels, 286-foot Pepsi Globe Ferris wheel, family attractions Wannado City, MagiQuest and LegoLand
Developer: Colony Capital
Status: 2007 opening date was postponed, new date not yet scheduled. Related Companies Real Estate is reportedly in talks about becoming a partner in the project.
Photo Credit: Xanadu Meadowlands

Xanadu: Inside Look

Photo Credit: Xanadu Meadowlands

Xanadu: Inside Look

Photo Credit: Xanadu Meadowlands

CityNorth

Location: Loop 101 at 56th Street, Phoenix
Project:
144-acre mixed use development
Original Proposal:
Urban enclave with residential, office, entertainment, restaurants and retail shops including a Nordstrom and Bloomingdales.
Developer:
Klutznick Co. and Related Companies
Status:
 “High Street” – first phase of development with retail, apartments and office space – opened in 2008. Lender Capmark Financial Group Inc. filed for foreclosure in January 2010 due to default on $290.5 million loan.
Photo Credit: http://www.citynorthaz.com/

Streets of Buckhead

Location: Peachtree Road and East Paces Ferry Road, Atlanta
Project: $1.2 billion, nine-acre luxury mixed-use development
Original Proposal: 500,000 square feet of luxury streetscape retail, restaurant space, luxurious high-rise estate homes and a world-class hotel
Developer: Ben Carter Properties
Status: Construction started in 2007 on a parking deck, two apartment towers and foundation for retail shops. Leases signed with Hermes, Van Cleef & Arpels. Developer is reportedly in talks with private investors to raise $200 million to resume work
Photo Credit: Ben Carter Properties

Stopped in their Tracks: Troubled CRE Projects

Ten real-estate projects the recession put on hold

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