Sullivan Square Deal Avoids Courthouse Sale
Sullivan Square, a Valley shopping center housing Best Products Co. and a dozen other tenants, has been sold to a Seattle partnership, officials said Monday.
The deal, which is expected to be completed before the end of the year, will avoid a courthouse sale that lenders had threatened to conduct if a $3 million loan was not repaid.
Berman Swarttz, a Beverly Hills businessman who owns Sullivan Square, declined to name the new owners. But he promised that the deal would benefit merchants and customers of the 98,000-square-foot shopping center at Sullivan and Sprague.
“The deal will close, the lender will be paid off,” Swarttz said. “As far as I know, it’ll be in strong hands and will be improved.”
Other tenants at Sullivan Square include Spokane Railway Credit Union, U.S. Bank of Washington, Godfather’s Pizza and HAV Western Wear. Store leases should not be affected by the sale.
The Lane Co. of Seattle built Sullivan Square in 1980, said Denise Harfield, senior account executive for property manager R.W. Robideaux & Co. The center currently is 98 percent occupied, she said.
“Anytime there’s a new owner, there’s new energy and personality,” Harfield said. “In that sense, this (sale) should be good.”
Swarttz bought the property in 1988 for $4.2 million, with a loan from Lane Co., a Seattle developer.
He encountered problems in 1992 after Best filed for bankruptcy protection from creditors while it took time to reorganize. With questions about Best’s future clouding negotiations, Swarttz was unable to refinance the loan, which came due Feb. 5.
To protect itself from collapse of Swarttz’s pending sale, Lane Co. has announced plans to sell the shopping center to the highest bidder on the steps of the Spokane County Courthouse. The sale, if necessary, will be conducted Jan. 5.
, DataTimes