Lender seeks receiver for south Aurora office buildings after default

The owner of two office buildings in southern Aurora has defaulted on a loan that it took over from the property s previous owner according to the lender who wants a receiver installed The Cherry Creek Place I and II buildings at and S Vaughn Way by the Interstate -Parker Road interchange are owned by South Vaughn Way LP The entity which is affiliated with Austin-based Pennybacker Capital purchased the buildings in June for million according to community records In connection with that deal Pennybacker assumed a million loan issued to the structure s previous owner Denver-based Northstar Commercial Partners in December records show That loan issued by Citigroup was not due to mature until January according to the original agreement Maturity refers to when a loan must be paid off But in a lawsuit filed Friday Wells Fargo Bank which is now trustee of the loan declared building ownership defaulted on the loan by failing to cure deficiencies related to the property s cash management agreement As a development of the default the bank announced it had accelerated the repayment date Wells Fargo solicited the court to appoint a receiver overseeing the buildings and to authorize it to proceed with foreclosure Arapahoe County District Judge Darren L Vahle had yet to rule on the request as of Monday afternoon Pennybacker did not respond to a request for comment Monday Related Articles Redevelopment planned as Lakewood restaurant closes after years NYC joint takes former Ian s Pizza space in Denver s Ballpark neighborhood Globeville office owners say lender was hyperaggressive if not hostile State rep s solar firm is bankrupt will liquidate the last of its assets Denver permitting is worst in the western U S caused foreclosure exec says Cherry Creek Place I and II have about square feet of space between them according to Transwestern which markets the office space Pennybacker also owns the nearby Cherry Creek Place III building at S Vaughn Way having bought that for million in early But records show that building has separate financing Dinsmore Shohl attorneys Chris Brophy and Phoebe Schneider are representing Wells Fargo More than a dozen Denver-area office properties are at the moment in receivership including the Aurora Corporate Plaza complex further north in Aurora Get more business news by signing up for our Market Now newsletter