PORTLAND, Ore. — A lender is foreclosing on a loan tied to the Montgomery Park office complex owned by Unico Properties and Partners Group, the latest seismic event in Portland’s faulty office market.
Borrowers owe $149.7 million, according to a "notice of default and election to sell" filed with Multnomah County on Sept. 29. Partners, a global investment management firm, and Seattle-based Unico bought the 18-acre Montgomery Park in 2019 for $255 million.
The property sits at 2701 Northwest Vaughn Street. It was most recently valued at $187.2 million, according to property records. Montgomery Park is the third-largest office building in the Portland metro at 756,055 square feet, according to Business Journal research. Unico also co-owns the city's largest office building, U.S. Bancorp Tower.
Montgomery Park will go up for sale to the highest bidder on Feb. 14, 2024 outside the Multnomah County Courthouse at 1200 Southwest First Avenue, the documents state.
Unico declined to comment for this story.
The New York branch of Natixis holds the loan and is foreclosing through a successor trustee, Craig Russillo of Schwabe, Williamson and Wyatt in Portland. Natixis did not immediately provide comment to the PBJ.
According to foreclosure documents, the amount owed as of Aug. 31 includes principal of approximately $118.5 million, interest of $8.4 million, default interest of $4 million, deferred interest of $8.9 million, default interest on deferred interest of $4 million, and a late fee of $5.9 million.
