Uptown Dallas landlord Harwood International is facing its third office foreclosure this year. The property in question, Harwood No. 1 at 2651 North Harwood Street, is scheduled for auction on November 4 at the Dallas County Courthouse, according to Roddy’s Foreclosure Listing Service.
Harwood International took out a $37.45 million loan from First United Bank in 2020 to finance the 105,550-square-foot building. This amounts to roughly $355 per square foot. There remains a possibility that Harwood and First United Bank could negotiate a loan extension to prevent the sale. Harwood did not respond to The Real Deal’s request for comment before publication.
“Harwood No. 1 was the firm’s first office development, built in 1984 for Rolex. In April, the building was just 54.1 percent leased.”
This latest foreclosure follows two other significant events for Harwood International in recent months. Six months ago, the company returned control of Harwood No. 4 to its lender after defaulting on an $80 million mortgage tied to the property. The 20-story office building at 2828 North Harwood Street was taken over by San Francisco-based Spear Street Capital through a $73 million credit bid.
Ten months earlier, Harwood avoided foreclosure on Saint Ann Court (Harwood No. 6) by reaching a recapitalization agreement with Life Company. The deal enabled Harwood to repay its $138 million mortgage on the 25-story building located at 2501 North Harwood Street.
The series of foreclosures and restructuring efforts highlight ongoing challenges for Harwood International and its office properties in Uptown Dallas.
