The challenges facing Baltimore's real estate market as a notable developer files for bankruptcy.
Brandon Chasen, a prominent Baltimore developer, has filed for Chapter 7 bankruptcy due to overwhelming debt and ongoing legal issues. This decision affects multiple properties and projects under Chasen Cos., highlighting a significant shift in the local real estate market. Various creditors initiated the bankruptcy, citing substantial liabilities. While Chasen has been recognized for revitalizing properties, external pressures and financial missteps led to this crisis. The case raises concerns over the future of his developments and relations with tenants.
Baltimore, MD — Brandon Chasen, a prominent local real estate developer, has formally filed for Chapter 7 bankruptcy, signaling a significant financial collapse. The decision comes after accumulating overwhelming debt, legal issues, and a series of stalled projects that have severely impacted his company’s operations.
On June 16, lawyers representing three major creditors—Sandy Spring Bank, Ferguson Enterprises LLC, and Southland Insulators of Maryland Inc.—submitted a petition requesting Chasen’s company, Chasen Cos., to undergo Chapter 7 liquidation. U.S. Bankruptcy Judge Nancy V. Alquist approved the bankruptcy plea on the same day, paving the way for the company to proceed with asset liquidation and debt repayment plans.
Following the court’s approval, Chasen is mandated to submit a comprehensive report detailing his assets, liabilities, and financial standing by August 13. His attorney, Adam Freiman, indicated that the voluntary filing was the company’s best option amid mounting financial pressures and that Chasen intends to cooperate fully with the bankruptcy process to meet his obligations to creditors.
Freiman cited “overwhelming debt” as the primary reason for the decision to file for bankruptcy, stating that the developer is committed to honoring his financial commitments and moving forward responsibly. The bankruptcy was seen as a strategic measure to address the company’s dire fiscal situation rather than a sign of personal insolvency.
Brandon Chasen gained recognition for revitalizing neglected buildings in Baltimore and was once considered a key figure in the city’s residential development scene. His company managed around 10% of the multifamily properties in the Fells Point district, according to a 2024 analysis, and had ambitious plans for national expansion estimated at $100 million.
The company’s financial decline has been impacted by multiple external factors and internal challenges. The COVID-19 pandemic disrupted supply chains and increased costs for construction materials. Simultaneously, rising interest rates on commercial loans have made borrowing more expensive, further straining the company’s finances.
Chasen responded by halting all compensation to employees, including himself, recognizing that the business was no longer sustainable. Several significant projects, such as the renovation of the old Meyer Seed Co. warehouse and the One Calvert Plaza skyscraper, have been halted or delayed due to these financial issues.
The company has been embroiled in multiple legal disputes, including lawsuits from lenders and contractors over unpaid bills and late loan payments. Notably, Chasen Cos. defaulted on a nearly $34 million construction loan for a luxury apartment development. Additionally, Chasen Construction LLC, the firm’s construction division, filed for Chapter 11 bankruptcy earlier this year with liabilities exceeding $39.5 million and no assets.
There have also been heated exchanges with creditors, including Sandy Spring Bank, which accused Chasen of attempting to transfer a Gulfstream G200 jet to a trustee without addressing outstanding loan arrears. The company also faces overdue municipal bills, such as city water charges and taxes totaling at least $345,000.
Tenant relations have reportedly suffered, with some tenants struggling to obtain information about lease renewals and rent payments. Several properties, managed by third-party firm Bay Property Management, have experienced communication challenges amid the ongoing financial chaos.
Freiman emphasized that Chasen’s goal is to navigate the bankruptcy process with integrity, learn from the setbacks, and apply these lessons to future real estate endeavors. The developer expressed a commitment to working diligently to resolve outstanding issues and to pursue new opportunities with a more cautious approach.
The bankruptcy marks a significant turning point for Brandon Chasen’s career and the Baltimore development landscape. While once a major player in the region’s housing market, his company’s difficulties underscore the challenges faced by developers amid economic swings, rising construction costs, and mounting debt. The outcome of the liquidation process will determine the fate of his assets and influence ongoing projects and investor trust.
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