AT&T's Hoffman Estates Campus One Step Closer To Foreclosure

AT&T's former campus in Hoffman Estates, IL
JLL
Lakewood Center Chicago

Unless a miracle happens in the next month, one of the largest swaths of suburban Chicago office real estate is almost guaranteed to fall into foreclosure. A loan servicer is preparing a foreclosure suit on the former AT&T campus in Hoffman Estates, now known as Lakewood Center, since AT&T's lease on the property expired, Crain's reports.

AT&T moved out of the 1.6M SF property in 2013, but continued to pay rent. Highlands REIT, which owns the property and is carrying $116M in debt on it, has been unable to find new tenants. AT&T's lease ended Monday and, without any new revenue lined up, Highlands cannot make its mortgage payments.

A $56.7M portion was recently placed with C-III Asset Management as part of a CMBS offering, with the remainder expected to be placed in the near future. Highlands will not fight the foreclosure suit once it's filed. [Crain's]

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's Chicago Newsletters
Related Stories

EXCLUSIVE: Georgia-Pacific Scraps Conversion Plans For Its Atlanta HQ

Y'all Street Powers Trophy Office Momentum In Uptown Dallas

Suburban Chicago Shopping Center Sells For $122M In Major Retail Deal

Baby Boomers Help Push Atlanta Medical Space Rents Above Traditional Office

U.S. Office Sales Show 31% Year-Over-Year Growth

Burlington Moving HQ To Philly, Buys Office Building For $240M

Becknell Taps JLL IPT Veteran To Boost REIT's Selling Group

In Booming Silicon Valley, Architecture Firm Revel Meets Clients Where They Are

Miami Is 'Desperate' For A New Office Tower. It's About To Get 2

Union Contracts Expire At 46 Chicago Hotels, With Potential Strike Looming

Joss Realty CEO, Executives Join Another Company's Real Estate Division

Bluerock Affiliate Acquires Sunnyvale Office Hub For $330.7M