By Thomas Grillo
Banker & Tradesman Staff Writer

In a sign that the housing crisis is not limited to hardscrabble neighborhoods, a five-room condominium at the Ritz-Carlton Boston Common is facing foreclosure.

The 1,359-square foot unit is expected to be listed on the MLS Property Information Network by Charlesgate Realty Group later this month for $600,000, according to P.T. Vineburgh, the company’s founding partner.

“The housing and mortgage disaster is starting to transcend socio-economic lines,” said Vineburgh. “It’s now extended to the Ritz.”

Beth Dailey, an agent at Otis & Ahearn who is listing a five-room unit at the complex on Avery Street for just over $1 million, said she believes this could be the first foreclosure in the luxury building. 

“I have not heard about any other foreclosures in luxury properties,” she said. “Not yet at least, but who knows?”

When it was built in 2001, many observers said Millennium Partners and the Ritz were taking a risk on the $500 million, two-tower project. The development includes more than 300 condos, a hotel, movie theater and health club near Boston Common.

But sales were brisk in an area once called the Combat Zone, as buyers paid between $700,000 and $7 million for units in an area of the downtown still in transition. Today, MLS lists units at the development from $540,000 to $4.2 million.

Louis Tasiopoulos, the property owner, paid $715,000 for the dwelling in 2005. He has three mortgages totaling $810,000.  He could not be reached for comment.

Geoffrey Gibbons, a broker at Coldwell Banker Residential Brokerage who is listing a unit next door to Tasiopoulos’ property, said he was shocked to learn about the foreclosure.

“It’s surprising when you consider that the profile of the average owner in the complex tends to be higher net worth,” he said.  “I haven’t heard of any foreclosures at any of the luxury buildings downtown.”