East Memphis’ tallest tower is heading to the auction block. The iconic Clark Tower is in foreclosure and scheduled to be sold to the highest bidder next month.
This building is scheduled to be sold to the highest bidder during an auction on the courthouse steps March 22nd.
It’s 34-stories tall and has been an East Memphis establishment for more than 45 years.
“It’s been here as long as I’ve existed,” said Michelle Becker.
Visitors like Becker were shocked to hear about the potential foreclosure.
Less than two years ago, the property underwent an $8 million renovation. But despite the sprucing up, we’re told the building is just over half full.
While some tenants are concerned about what this means for their future, Memphis City Councilman Worth Morgan doubts they will be greatly affected
“In the short term, I think it’s going to be business as usual for everybody,” said Morgan. Morgan doesn’t think the location is the issue.
“I don’t think it’s a marketplace issue. I think this is a strong office market. It’s one of the strongest, if not the strongest, in the Mid-South,” said Morgan.
The Local I-Team reached out to the property owners, but no one returned our calls.
The owners of Clark Tower also own the I-bank building next door, and that could be a concern, says Morgan.
“That’s going to be something to watch in the future. They have some major investments here up and down Poplar, the I-bank building next door, so is this a one-time issue for them, and the financing, and the underwriters, and the numbers didn’t work for this building, or is this something larger that is going on within their company?” said Morgan. “I’m still bullish on Memphis. I think we’re doing great in terms of the investments, not only from people here in the city, but from outside.”
One of the tenants told the Local I-Team management sent out a letter this week that said the owner is trying to renegotiate financing of the building.