OAKLAND — A century-old highrise in Oakland has been seized by the property’s lender in a deal that may be reflective of the current Bay Area commercial real estate sector.
The Leamington, an 11-story downtown landmark built roughly a century ago, has been taken back by its lender due to a failed loan totaling $35.5 million, documents filed on Jan. 6 with the Alameda County Recorder’s Office show.
CIT Bank, acting through a subsidiary, wrested ownership of the property from an affiliate of Harvest Properties, which had bought the building in 2015 for $19.1 million, according to county records.
CIT Bank took back the tower through a deed-in-lieu of foreclosure, which is a streamlined process for a lender to seize ownership of a property with a delinquent loan. The bank’s subsidiary paid $34.5 million for the tower, which would be less than the loan amount, according to property documents…