A partnership led by Hartford-based LAZ Investments has acquired downtown Hartford’s 23-story Stilts Building, resolving a foreclosure case that had hung over the prominent office tower since 2022.
LAZ Investments, Greenwich Realty Partners and Montreal-based Olymbec announced Friday that they acquired the 420,000-square-foot building at 20 Church St. The purchase price was not immediately disclosed.
The deal represents a significant change in ownership for one of Hartford’s most recognizable office buildings at a time when several of the city’s largest office towers are in foreclosure, receivership or being marketed for sale amid depressed property values and elevated vacancies.
Wells Fargo filed a foreclosure lawsuit against the Stilts Building’s previous owner, an affiliate of New York-based Shelbourne Global Solutions, in 2022, alleging missed payments on a $31 million mortgage. The bank later sought repayment of a $25.7 million outstanding balance.
The foreclosure appeared headed toward a resolution earlier this year. In March, attorneys for Wells Fargo and Shelbourne jointly asked a Hartford Superior Court judge to pause the case, saying they had reached a settlement that called for the mortgage to be paid off by June 18.
LAZ Investments will oversee daily management of the building under the new ownership group.
The acquisition comes as downtown Hartford’s office market continues to work through the fallout from the pandemic and shift toward hybrid work. Constitution Plaza, Metro Center and City Place I have all faced foreclosure or receivership proceedings, with efforts underway this year to sell or otherwise resolve those properties.
Those transactions are being closely watched because they could establish new benchmarks for downtown office values after demand and occupancy declined sharply in recent years.
The new owners said they plan to make targeted upgrades to amenities and tenant spaces at the Stilts Building as they seek to increase leasing.
LAZ Investments is the family office investment arm of Alan Lazowski, chairman and CEO of Hartford-based LAZ Parking. It already has investments in downtown Hartford office, apartment and parking properties.
The firm has also been involved with One Financial Plaza, commonly known as the Gold Building, where the ownership group said it has leased more than 250,000 square feet of office space over the past several years.
“The acquisition of 20 Church is a natural extension of that commitment,” Lazowski said of the firm’s Hartford investments.
Olymbec also has a significant Greater Hartford real estate portfolio, including 960 Main St., the historic former G. Fox department store building located across from the Stilts Building, along with properties in East Hartford and Glastonbury.
Greenwich Realty Partners is a real estate acquisition and development platform backed by LAZ Investments and GPG, a group made up of executives from Shelbourne Global Solutions.
Built in 1981 by Olympia & York, the Stilts Building gets its nickname from the large angled support columns at its base. The tower has undergone renovations in recent years.
LAZ also has a longstanding connection to the property. LAZ Parking was a tenant in the building in the late 1980s and early 1990s.
