A large chunk of downtown Hartford's Constitution Plaza, which was recently put on the sales block, has fallen into foreclosure, court documents show.
The owners of the property, which include Richard Cohen's Capital Properties and GE Capital, failed to pay off a $60 million mortgage on six buildings within the plaza that matured June 1.
The property, which Cohen purchased in 1999, fell into foreclosure July 10, court documents show.
The lender of the property is Metropolitan Life Insurance Co.
The mortgage had an original maturity date of Jan. 1, but the lender and borrower agreed to a six month extension while they tried to refinance the loan, said Richard Weinstein, a West Hartford attorney who is representing Cohen's firm.
But neither side has been able to reach a deal so far and the June 1 deadline came and went.
As a result, MetLife pushed forward with the foreclosure. Weinstein said he is somewhat optimistic that an agreement to refinance the mortgage can still be worked out.
Sources familiar with the property say it is 82 percent leased and cash flow positive.
The six buildings in foreclosure hold more than 650,000 square feet of office space, and were put up for sale by Capital Properties and GE Capital in March. It's not clear why the buildings have fallen into foreclosure.
Cohen did not immediately return a call seeking comment. His New York-based Capital Properties firm has been running the day-to-day operations of the buildings.
Capital and GE own One, 10, 100, 248, 250 and 260 Constitution Plaza. One Constitution Plaza, fronting Market Street at the corner of State Street, is the flagship tower.