A 50,154-square-foot medical office building and an 8,006-square-foot medical office building in West Palm Beach, Fla., have been hit with a $7.88 million foreclosure lawsuit, according to a May 9 report from the South Florida Business Journal.
The larger building formerly housed a psychiatric hospital, while the smaller facility houses a Sunview Health mental health center. Both properties were acquired by the Jerome Golden Center for Behavioral Health in 2020 as part of an $11 million deal, but Jerome Golden ceased operations and closed the hospital in 2019.
On April 30, Pasadena, California-based East West Bank filed a foreclosure complaint against Sunshine Holdings 2019 and Sunview Medical Center.
East West Bank provided the borrowers with a $10.85 million mortgage in 2021. Now, the borrowers owe $7.88 million in principal, plus interest and fees, according to the lawsuit.
The outpatient services onsite are still operational at the facility, but the hospital building still needs construction improvements, according to the report.