Struever Brothers sued for defaulting on loans
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SBER, which has developed much of the Baltimore area, including Charles Commons, has failed to repay a $5 million loan from the bank.
Information about the lawsuit is not available, according Bob Rubenkoing, Communications director at SBER. Both National City Bank and SBER declined to comment on the status of the suit.
"Our projects are status quo at the moment," Rubenkoing said. "[The ones] that are under construction will be completed, but like so many other businesses in commercial real estate, everybody's been affected by this tumultuous downturn, but we know we'll get through it. We have a plan, and we're really optimistic about the future."
However, not all projects are currently under construction. The SBER-owned Olmsted lot, located on St. Paul Street between 32nd and 33rd street, will remain undeveloped due to SBER's financial troubles.
Construction for the lot was supposed to start by the end of 2006, but was continuously pushed back until they announced that it would remain empty indefinitely.
According to Rubenkonig the company's financial troubles would not affect the status of the Olmsted lot because all of SBER's projects are financed individually.
"If the asking price [for the lot] is reduced to a more viable number, a developer with a better cash position may take over the project," John Spurrier, a Coldwell Banker realtor who has lived and worked in Charles Village for over 20 years, wrote in an e-mail.
The University hired SBER to develop Charles Commons, which was completed in the fall of 2006, and would consider working with SBER again.
"The University's collaboration with Struever Brothers in the Charles Villages Projects, and particularly on Charles Commons, has been very successful," Dennis O'Shea, University spokesman wrote in an e-mail. "I know of no reason why Struever Brothers wouldn't be able to compete for any projects that might come up in the future."
Others in the community have also expressed satisfaction with SBER's development in Baltimore.
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