Search Here

Wells Fargo Bank has filed in Pulaski County Circuit Court for foreclosure of the 30-story Regions Building in downtown Little Rock.

NNN 400 Capitol Center LLC, through a collection of 37 limited liability companies with the same name, purchased the building for $32 million in August 2006. According to the filing, the note on the building was due Sept. 1 and as of Nov. 7, the balance due was $29.6 million.

Interest on the loan is accruing at a rate of $5,191.25 per day, according to the filing. Default interest began accruing at $3,340.03 per day on Nov. 8.

Wells Fargo is asking for payment of the note or sale of the property. It has requested LNR Partners LLC of Miami be appointed as receiver for the property.

The Wright Lindsey Jennings law firm has been hired to represent LNR Partners. Attorney Judy Henry referred questions to LNR Partners, who did not immediately respond for comment.

The original monthly payment was $196,343.21. Wells Fargo noted that they have sent several notices of default, all of which were ignored.

As of November 7, the balance of the loan was $29,612,459.95, which includes $1,202,411.71 in late fees, $508,742.12 in interest, and $223,782.12 in default interest.

Starting November 8, the interest began accruing at a rate of $5,191.25 per day, and the the default interest began accruing at a rate of $3,340.03 a day.

Wells Fargo has also requested that all rent payments collected past September 1 be returned. The Little Rock Club and Arkansas Blue Cross and Blue Shield are among the companies renting space in the building.

Per the loan agreement, Wells Fargo retains the right to sell the property in order to satisfy the outstanding loan balance.

They have also requested to appoint a receiver to "protect, possess, control, manage, and operate" the property. The receiver will also receive rent payments and manage the operating expenses.

Wells Fargo has requested Shane Soefker with Avison Young in Memphis to be named the property's receiver.

The first hearing has been scheduled for January, 12, 2017 before Judge Chris Piazza.