[Baltimore Sun] Bank files foreclosure on One Calvert Plaza apartment conversion in downtown Baltimore
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Chasen Cos., a builder of apartment projects in Fells Point, Mount Vernon, Federal Hill and downtown, is facing foreclosure on a historic office tower it planned to convert to housing.
The Baltimore-based developer planned to transform One Calvert Plaza, one of the city’s oldest office buildings, into about 165 apartments with ground-level retail and office space on the second floor.
Lender Sandy Spring Bank filed last week to foreclose on the 16-story, Beaux Arts-style building at East Baltimore and North Calvert streets.
Court documents show Chasen defaulted on a $33.7 million loan that the bank approved in March 2022 and owed $28.9 million in principal, interest, late fees and attorneys’ fees as of Sept. 7.
Company representatives, including CEO Brandon Chasen, could not be reached Thursday for comment. An attorney listed for the defendants did not respond to a request for comment.
Chasen Chief Operating Officer Drew Peace told The Sun last year that a renovated building was expected to open this year.
The lender said in court documents that it demanded payment in full in July after the borrower missed payments. The bank sent a second letter seeking repayment Sept. 10, court documents show.
The tower at 201 E. Baltimore St. was built in 1901 as the Continental Trust Building. Designed by a well-known Chicago architect in the “Chicago style,” the building survived the 1904 Baltimore fire and for a short period was the tallest building south of New York, according to Johns Hopkins University’s “An Engineer’s Guide to Baltimore.”
The re-development project is listed on Chasen’s web site as “The Plaza,” along with another downtown apartment property, “The Genesis,” at 9 N. Howard St. But a general phone number for information or tours has been disconnected.
Court records show Chasen’s financial troubles apparently stretch beyond the foreclosure, with contractors in recent weeks demanding hundreds of thousands of dollars in allegedly unpaid bills.
Chasen is listed as a defendant in at least 10 cases filed this year, most since June, and several this month. Most have been filed by subcontractors or service providers seeking payment.
Construction contractor Devere Insulation Co., said in a complaint earlier this month that Chasen has refused to pay more than $281,934 for completed work on several projects, including at Calvert Plaza.
Chasen signed a subcontract with Devere in June 2023 for labor and materials for that project but still owes more than $34,000, the complaint says.
Devere said it’s owed another $241,226 for insulation materials and labor for the commercial portion of The Anne on Aliceanna, new apartments in Harbor East. The lawsuit says the contractor was hired in February 2023 for that job.
Nottingham-based Pinpoint Plumbing said Chasen owes it more than $48,000 for a $432,000 job it was hired for in August 2022 and has since completed. The contractor said in an August complaint that it installed new construction plumbing and gas piping at at The Brixton, an apartment project at 421 South Broadway in Fells Point.
“Despite repeated demand, Chasen refused to pay, and did not pay, the remaining balance owed” under an agreement for services, Pinpoint’s complaint says.
Chasen also owes an outstanding balance of more than $241,000 to a drywall contractor, also for The Brixton, a breach of contract lawsuit filed this week shows.
D&J Drywall, of Columbia, said it entered several service agreements last year that totaled more than $427,000, for services such as electrical work and installation of drywall, cabinets, doors, trim and tile. Chasen has paid only $186,063, the complaint says.
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