Dayton's Project lender throws new wrinkle: foreclosure sale The city of Minneapolis supports the developer and plans to weigh in on court battle. July 13, 2021 — 5:26pm Text size Copy shortlink: A key lender of the Dayton's Project on Nicollet Mall now wants to auction off the loan to the highest bidder, a move the project's developer along with the city of Minneapolis and downtown boosters plan to fight in court. New York-based Monarch Alternative Capital purchased the original $78 million mezzanine loan on the iconic, but mostly vacant, former Minneapolis department store from investor Angelo Gordon in February. In recent weeks, however, Monarch informed the developer and owner of the Dayton's Project, 601 Minnesota Mezz, that it considers the collateralized loan in default because it missed key leasing targets and deadlines.