New Investor Sought For Major Rochester Project
Rochester, MN (KROC AM News) -Rochester developer Gus Chafoulias is looking for a new investor for the planned Broadway at Center project in downtown Rochester.
In a statement issued Wednesday evening, Chafoulias announced one of the investors in the $146 million project had failed to meet its obligations. The statement says Chafoulias’ company and other stakeholders were prepared to close on a financing package a few weeks ago, and had met their requirements for a nearly $105 million loan, but have been waiting for one stakeholder to fulfill its obligations. That investment group is led by Prince Turki Bin Abdullah Bin Abdul Aziz Al-Saud of the Saudi royal family and Minneapolis businessman Anas Abukhadra. Chafoulias and his family’s Titan Development Company have now terminated the investment group’s right to participate in the development and are now pursuing negotiation with the other investors. It’s anticipated the loan closing will take place once those negotiations are concluded.
“With any large-scale project like this, there are a number of parties involved. We are deeply appreciative of all of our stakeholders who have stood by our side. Unfortunately, one of them didn’t follow through as promised. We are optimistic of our next steps though and hope to close on the transaction soon,” said Mr. Chafoulias.
The Broadway at Center Project calls for a 23-story mixed-use development featuring a hotel, and apartments, along with retail and office space on the southeast corner of Broadway and Center Street.