Photo courtesy of the Hartford assessor's office

Webster Bank has filed to foreclose on a loan against a large Hartford office building.

An affiliate of major Hartford commercial landlord Shelbourne Global Solutions borrowed $38 million against its 285,577-square-foot office building at 350 Church St. from Sterling National Bank in February 2019, according to public records.

Sterling was bought by Webster in February 2022.

However, when the loan came due on March 1, Shelbourne failed to repay, according to Webster’s foreclosure complaint, filed in Hartford Superior Court. The property also owes over $1 million in back property taxes, the complaint alleges.

The legal action makes 350 Church St. the third major Hartford office building to face foreclosure after the iconic – and Shelbourne-owned – “Stilts Building” at 20 Church St. and a large part of the Constitution Plaza complex.

However, in this case it appears that Shelbourne’s building may have landed in foreclosure due to many lenders’ reluctance to finance any type of office property.

According to the Hartford Business Journal, which first reported the filing, Shelbourne claims the property is 90 percent leased and it’s “working toward a resolution” on the foreclosure.