Panoramic Development is in default on a loan for a proposed high-rise of more than 1,000 dwellings in West Auckland.
The San Francisco-based developer defaulted on $6.25 million in debt to CitySpaces at 500 Kirkham Street, The East Bay Times reports.
The development includes 1,032 apartments and 35,000 square feet of shops and restaurants, offices and a grocery store, with an estimated 85 affordable units. It will replace a vacant lot.
The proposed workforce housing development is one of several projects expected to transform the neighborhood between Interstate 880 and 7th Street, adjacent to the West Oakland BART station.
Now, the property faces loan delinquency, default and possible foreclosure.
In 2017, an affiliate of Panoramic Development paid more than $8 million to develop the site.media reports also list buyers and developers as panorama interestowned by Patrick Kennedy.
In 2021, the same Panoramic subsidiary received a $6.25 million loan from CPIF California, an entity controlled by Seattle-based Columbia Pacific Advisors.
That loan is now in default. The amount owed, which includes principal, interest, late fees and penalties, has ballooned to more than $13 million, according to the East Bay Times.
However, Panoramic has yet to secure a construction loan to build the project, which is planned to take place in three phases.
Last June, Panorama Put the site up for sale After failing to find an equity partner for the project, which was estimated to cost $300 million in 2019, the San Francisco Business Times reported.
After nearly 50 years of underinvestment, West Oakland’s Prescott neighborhood has attracted a wave of development interest. In January, Tidewater Capital Initial plans submitted for 289 apartments and 3,000 sq. ft. shop Located at 533 Kirkham Street, one block from the same West Oakland BART station, the area will become a transit-oriented live-work hub.
In addition, three developers proposed mandela station@West Oakland, turning BART-owned parking lots around the station into 766 apartments and 380,000 sq. ft. of offices, labs, shops and restaurants.
— Dana Bartholomew
