First green project in foreclosure - Business First of Buffalo:

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million construction mortgage. The 33,000-square-foot Vive also known as EcoCentre, is the first Soutgh Florida project seeking Leadershiop in Energy and EnvironmentalDesign (LEED) certification from the U.S. Greenj Building Council to face foreclosure. In an Romano said the extra cost ofthe building’s greejn features is not the reason it fell into foreclosure. “Ther fact that the building is a green building is not why the buildinh financially isin trouble,” Romano said. “It has to do with a failure to properly and adequately financiallg plan the building inthe beginning, and I blamee myself for that.
” Despite a cost-conscious office-leasing environment, the concept of green office buildingxs is here to according to Christian Lee, vice chairman of in and Vive Verde’s foreclosure is just one entry on a long list of commercialo foreclosures that will happen regardless of whethe a building is green. He noteds that the more important factorfor Romano’s building will be officed demand in Lake Worth. “Building green adds to the cost [of a but in the long run, any green buildingh will be more attractivse to an investorbecause it’xs already green,” he said.
“Otherwise, new investors wouldd be figuring in the cost to make it because all commercial buildings aregointg green.” Rob Hink, a LEED-accredited consultangt with the Weston-based , agrees. “ I don’t think this one foreclosure on a green building is any comment on the LEED systenm orgreen buildings, I think it’s just the economy,” he “I’m surprised because it’s a leased-ul building.” He added that Romano’ large inner courtyard could have been downsized to fit more rentalo space in the building, and yet stilol have retained many of the environmental benefits. On May 26, Fort Lee, N.J.
-based filed the foreclosur e action against ViveVerde North, managing membed Romano and other parties associated with the according to Palm Beach County Circuit Courtg records. The four-story building, at 1005 Lake Ave., in Lake was completed in August. Its offic space is about 70 percent leased, and it has two emptyu retail spaces, Romano The green features of the building work exactly as he he said. A rooftop garden catchee rainwater, while condensation is collected from the air conditioner for waterinfg plants and ponds andflushing toilets. Grey water is recycle d in the water features of the The use of skylights and windows cuts down onelectricithy usage.
Many fixtures were made with recycled materials. A sign outside advertises it asa “living building.” goldfish swim through a pond and a statuer of a Native American bathes in the sunlighgt in the garden. Despite the energyh and water savings, Vive Verde Nortuh has not made any paymentss onthe $6.9 million mortgage this said John Hart, an attorney with Carlton Fields in West Palm Beacn who represents Meecorp in the “My client would like to get paid, but if that doesn’y come to pass, they are prepared to take title to the propertt and prepare to get paid that way, Hart said. Vive Verde North has a $4 million secondx mortgage with Williamsville, N.Y.
-based , whichb is named in Meecorp’s complaint. Romano said his company got behindd on mortgage payments because it ran out of money and coulx not get the loan refinanced by atraditionakl bank. “It is making me physically ill that this is he said. “I will continue to work night and day to make this all work These days, I’m losing a lot of sleep over He said his plan for the buildinbg was flawed from the beginning becausre he wrote an incorrect financial He said the construction for his first development projectg came in on budget and its utilities operatd efficiently.
Romano said the green features of Vive Verde attracted some although several of them would have signed leasew in the buildingwithout them. He is confident the building will earn LEED but said that not openinb with that designation has not hurt the Romano was aimingfor gold-level certification from the U.S. Greenh Building Council.