The New York owner of Boston’s landmark Hancock Tower defaulted on a key loan payment this week, in what’s become one of the most spectacular commercial real-estate flops in the city’s history.
Broadway Partners LLC, the once high-flying investment firm that purchased the Hancock for $1.3 billion in 2006, was involved in intense negotiations yesterday with lenders over the future ownership of the tower.
Broadway, which has been trying to dump other properties across the nation as it reels from the real-estate crash and nationwide credit crunch, tried to calm nerves yesterday in a released statement.
“Despite difficult market conditions, we continue to work hard with our lenders and partners to address debt obligations,” the statement read. “In the meantime, Broadway Partners continues to operate great buildings with high service standards.”