Real Estate

Garage at Intercontinental Hotel & Residences Defaults on Loan

The garage underneath the Intercontinental Hotel is headed for a restructuring or sale after defaulting on its debt, according to a Boston Herald article.

“Bank of America went to court Monday to put Extell Development Corp.’s three-level, underground garage at 500 Atlantic Ave. into receivership and sell it after the New York real estate firm defaulted on a $17 million loan. Extell had pledged the garage as collateral when it landed the loan in 2006. But it fell behind on payments in August, according to documents filed in U.S. District Court in Boston.”

The lawsuit does not impact the 426-room hotel or residences at the Intercontinental, other than it may change the operation of the garage which is used by the hotel and condo owners.