The Contra Costa Times is reporting that More East Bay buildings in mortgage default.
Specifically, Jackson Center at 1111 Jackson Street in Oakland and Berkeley Tower at 2120 University Ave in Berkeley.
The bank seeks to foreclose a delinquent loan totaling $47.1 million. The affiliate of Portland, Ore.-based Scanlan Kemper Bard, commonly known as SKB, bought the buildings and the vacant lot for $61.5 million in 2007.
Ouch! That means that SKB is willing to right off almost $15 million in invested capital on these deals.
In an article from April 26, 2010 the Contra Costa Times reported that One Concord Center was also in the foreclosure process.
SKB willingly turning over the keys to the property in Oakland and Berkeley means that they do not see a resurgence in value in the near future. Expecting a near term turn around is unrealistic.