Another former Justin French property has a new owner.
Developer Larry Cluff, doing business as 1726 Altamont Offices LLC, purchased the City & Guilds building in Scott’s Addition – which is visible from the Boulevard – from Virginia Commonwealth Bank for $375,000.
Cluff plans to use part of the 5,742-square-foot building, but its occupant isn’t going anywhere.
Cluff is “going to occupy a small part of it and lease the rest back to City & Guilds,” said David Gammino, owner of the general contracting firm.
Virginia Commonwealth Bank foreclosed on the property in September.
Cluff has been the developer on several projects, including the Baker Atrium Lofts in Scott’s Addition.
Brian Berkey, a broker with Cushman & Wakefield | Thalhimer, represented Cluff in the transaction.
Gammino had been planning to move out of the building and into new headquarters but has put off those plans to fight a lawsuit.
Bank of Hampton Roads filed suit in June alleging that Gammino and City & Guilds had a hand in defrauding the bank of more than $13 million on two of French’s construction projects in Scott’s Addition.
Gammino said that the lawsuit has hampered his development activities because lenders are unwilling to extend financing while he is tied up in litigation.
The developer had been chasing a city council seat for the Fifth District but withdrew from the race after he learned of the lawsuit.