A federal judge has cleared the way for the sale of Cleveland’s massive historic Union Trust Building, now known as the Centennial, after rejecting another request for more time from the current owner.
The roughly 1.4 million-square-foot building occupies the corner of East Ninth Street and Euclid Avenue in downtown Cleveland. Millennia Cos. bought the property in 2018 and proposed a large redevelopment, but the vacant landmark has remained unfinished.
Judge Charles Fleming ruled that the ownership group had received sufficient time to address its troubled debt. The decision allows a court-appointed receiver to proceed with a sale process that could lead to an auction on November 3.
A stalking-horse bidder, which would establish an opening offer for other qualified bidders to beat, is expected to be selected September 15.
Deutsche Bank began foreclosure proceedings in 2023 over more than $33 million in unpaid debt. Millennia had sought additional time to arrange financing and restructure the project.
Court records also reveal discussions involving Hyperscape Digital, a company developing AI data center campuses. Documents show the company has been in talks with Citizens Business Bank about a $50 million loan connected to the property.
Millennia now describes its redevelopment concept as a mixed-use technology campus. Current plans include more than 200 apartments, approximately 420,000 square feet of office space, a hotel, retail uses, advanced technology space and a restored bank hall for events.
The proposal is substantially different from an earlier plan that called for 868 apartments.
The building also has significant public incentives attached to its redevelopment, including $65 million in state tax credits and a $10 million environmental cleanup grant. News 5 reported that those funds have not been spent.
Millennia can still participate in the court-authorized sale process while pursuing financing.
Add comment