Saturday, August 21, 2010

3 well-known Minnesota buildings in default

The owners of the Hotel Sofitel, the Minnesota Center and One Financial Plaza -- three well-known buildings in the Twin Cities -- are trying to restructure $88 million of outstanding debt after defaulting on loans.

The defaults are among the largest in the Twin Cities involving securitized commercial property debt, and such behind-the-scenes bargaining over past-due loans has become a hallmark of the commercial real estate crisis. Hotels have taken a clobbering, but there's plenty of distress to go around.

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