bankruptcy

No Sale For Hotel Niagara

Filed under: Luxury Travel & Hotels, Auctions

A hotel that once hosted President John F. Kennedy, Marilyn Monroe and sports legend Joe DiMaggio failed to sell at auction this week. The Hotel Niagara was built in 1925 and was considered one of the top hotels in Niagara Falls, New York for decades through the 1980s. The hotel fell into disrepair in recent years but in 2008 it looked like the hotel would have a second chance at glory when Amidee Hotel Niagara, LLC started work on a multi-million dollar restoration. Local news station WKBW reports that the parent company, Amidee Capital Group hit hard times and work stopped. Eventually Amidee Hotel Niagara LLC was unable to pay State Bank of Texas $3,277,803.61 for principle, interest, and past due fees and a court-ordered auction was ordered. Although many people attended including Buffalo developer and former NY gubernatorial candidate Carl Paladino, the only one bidding was Hotel Niagara's former mortgage holder, State Bank of Texas, which offered one million dollars to purchase the property. The bank will be seeking a new owner for the hotel.

Tags: bankruptcy, hotel niagara, niagara falls

Toni Braxton Files For Bankruptcy, Foreclosed House Sold

by Deidre Woollard (RSS feed) —

TMZ reported this morning that Toni Braxton has filed for bankruptcy again citing debts of $10 million and $50 million in unpaid debts with assets in the $1 million to $10 million range. Creditors include Cedars-Sinai Medical Center, the Internal Revenue Service and Neiman Marcus. She had previously filed bankruptcy in 1998. Earlier this year the IRS filed a lien against her for $396,000. One thing Toni won't have to worry about is her Nevada home, the one we checked out back in August.

The six-time Grammy winner and her husband, Keirston"Keri" Lewis bought the home in Henderson, NV home in 2007 for $2.6 million. The home was listed as a foreclosure on Realtor.com for $1.15 million. Listing pictures show that the home has been completely cleaned out. The home in the Seven Hills area of Henderson Nevada has four bedrooms, a pool, three-car garage and views of the surrounding desert. Realtor.com shows that the home was sold on September 17 for $1.060 million.

Gallery: Toni Braxton's Foreclosed Nevada Home

Tags: bankruptcy, nevada real estate, toni braxton

A Real Housewife of New Jersey's Bankruptcy Auction

by Deidre Woollard (RSS feed) —

Filed under: Auctions

Teresa Giudice one of Bravo's Real Housewives of New Jersey is bankrupt and her furnishings are headed to the auction block on August 22. She and her husband, Giuseppe "Joe" Giudice owe $10.85 million in debt. The couple has filed for Chapter 7 meaning that their belongings will be liquidated.

The items being auctioned were in the couple's foreclosed home and seen on the show. A.J. Willner Auctions is running the auction which includes a Schaefer & Sons Grand Piano, a Wolf stainless steel range, a six-foot Satsuma temple urn, plenty of ornate furniture including both a pool table and a poker table, a suit of armor, chandeliers and sconces, framed paintings and a Sea-Doo Bombardier jet boat. The word "faux" appears frequently in the descriptions of furniture and decor.

Those interested in buying will need to have a 25 percent deposit in cash or certified funds ready at the time of successful bid and full payment is due on August 23rd. In order to attend this auction, interested bidders are required to present a $300 refundable deposit at time of registration to serve as the required deposit until a bidder's balance exceeds a $1,200 threshold. At this point bidders will be asked to increase their deposit in order to satisfy the 25 percent requirement. There is no buyer's premium.

[via Gawker]

Tags: bankruptcy, real housewives of new jersey, Teresa Giudice

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Siena Hotel Casino In Reno Files Chapter 11

by Deidre Woollard (RSS feed) —

Filed under: Luxury Travel & Hotels

No luck in Reno as the Siena Hotel Casino has filed for Chapter 11 bankruptcy. The hotel made the move so that it can stay open and reorganize its debt. The Siena has been months behind on paying its gaming taxes and was at risk of losing its gaming license. It has also been behind on other state taxes and fees. Casino's employees were also dropped from their health coverage because the Siena didn't pay its bills and it owes $400,000 to NV Energy.

Siena owner Barney Ng has invested about $100 million into the Siena since 2000 in both loans and his own capital and has a $50 million loan. In December the hotel and casino property had received a notice of default and threat of foreclosure from its lender and last month the casino closed its table games. The property has a 214-room hotel and employs around 300 people (down from 500 at its peak). It remains open.

Tags: bankruptcy, chapter 11, hotels in trouble, reno, siena hotel

NFL Player Mark Brunell Files Chapter 11

by Deidre Woollard (RSS feed) —

Filed under: Sports

Another sports player is facing financial trouble. This time it's quarterback Mark Brunell, who won a Super Bowl last season as a backup quarterback for the New Orleans Saints. Brunell was paid nearly $52 million during his past 10 years in the NFL but filed bankruptcy on Friday. Brunell has been a three-time Pro Bowl pick but he hasn't been so successful off the field; he's facing multiple lawsuits over failed real estate and business loans. He was involved in a partnership called Champion LLC that included other NFL players Joel Smeenge and Todd Fordham (Smeenge has previously filed for bankruptcy). Brunell invested in Florida real estate including a project in Jacksonville Beach that had a $2.2 million loan made by CNL Bank in 2005. CNL began foreclosure proceedings on the property last year after accusing the partners of defaulting on the loan.

According to the Florida Times-Union, Brunell also invested in several other failed real estate projects in Michigan and Michigan-based Select Bank won a $1.1 million judgment against Brunell and his partners. Brunell has tried to keep up with the payments on his own but was no longer able to do so. "The timing of the group's real estate acquisitions at the height of the real estate market, in hindsight, clearly was not good," Brunell said in a statement e-mailed to the Times-Union. Brunell is currently a free agent and has not signed with another NFL team.

Brunell, who used to play for the Jaguars, has been active in the Jacksonville community, and created the Brunell Family Foundation in 1997 to raise funds for critically ill children and their families.The organization has raised nearly $800,000 to benefit charitable causes.

Professional athletes face a lot of choices when it comes to spending their money. Often real estate looks like a stable place to put one's money and see it grow rapidly but many athletes have faced trouble as the real estate market floundered and developments went belly-up.

Tags: bankruptcy, chapter 11, mark brunell, nfl

Arizona Real Estate Developer Faces Foreclosure On Major Land Project

by Deidre Woollard (RSS feed) —

Filed under: Real Estate Developments

Some Arizona land that was once to hold over 1,000 luxury homes and a luxury resort may be heading for a trustee's sale. The Arizona Republic reports that the Ellman Cos., doing business as Goldfield Preserve Development LLC, defaulted on a $177.1 million loan for the 2,450 acres of land in Maricopa County northeast of Scottsdale. The trustee sale is set for August 4.

The project known as the Preserve at Goldfield Ranch is part of the existing 5,000-acre Goldfield Ranch community. Ellman bought 2,200 acres for the development in 2006 for $133 million. The resort was to have a Canyon Ranch spa and resort and the single-family property lots were to be one to eight acres. In 2007 after the Maricopa County Board of Supervisors approved a master-plan amendment for the project it was predicting that groundbreaking could take place in as few as two years.

Don Kile, Ellman's president of master-planned communities is quoted in the article as saying that the company continues to work with their lenders to "resolve this issue and to maximize the property's value and marketability."

Tags: arizona, arizona real estate, bankruptcy, canyon ranch, ellman, goldfield ranch, preserve at goldfield ranch

Barcalounger Files Chapter 11

by Deidre Woollard (RSS feed) —

Filed under: Decor

Barcalounger, a brand famous for its reclining chairs and its sister company, contract furniture source American of Martinsville, have filed for Chapter 11 bankruptcy protection. Furniture Today reports that the joint filings were made a little more than a month after the two companies shut down their factory in Martinsville, Virginia. Parent company Hancock Park Capital has agreed to sell the companies to another affiliate of Hancock for $1.5 million. It is the largest unsecured creditor with claims totaling $32.4 million but will waive the claim if the sale to its affiliate is approved. The sale has to be approved by the bankruptcy court which would hold an auction if another bidder is interested.

Papers filed cite the economy and a downturn in furniture sales as a reason for the filing. Hancock Park bought Barcalounger in 2005 and purchased American of Martinsville from La-Z-Boy in 2006. The investment firm shut down Barcalounger's factory in Rocky Mount, N.C., about a year ago and moved production to the American of Martinsville plant. That factory was closed without warning on April 16. Barcalounge began making reclining chairs in 1940 and now also supplies chairs for home theaters.

Tags: american of martinsville, bankruptcy, Barcalounger, chapter 11, furniture

Four Seasons Nevis Called a National Emergency

by Carrie Coolidge (RSS feed) —

Filed under: Luxury Travel & Hotels

Before and after images of Four Seasons Nevis. The image on the right was taken shortly after Hurricane Omar hit the island of Nevis in 2008.

The closure of the Four Seasons Nevis and the involuntary chapter 11 bankruptcy filed against it has been declared a "national emergency" by the government of the island of Nevis. The image on the right shows the devastation the hurricane wreaked on a beach at the resort.

Once considered one of the best hotels in the entire Caribbean, the Four Seasons Nevis was severely damaged by Hurricane Omar in October 2008 and has been closed ever since. The Four Seasons offered 196 spacious, luxurious guest rooms and suites in 12 two-story guest buildings just steps from the beach and exclusive two- to six- bedroom residence villas. The privately-owned self-sufficient estate home accommodations as well as a 18-hole golf course designed by Robert Trent Jones II, were not damaged by the hurricane and are fully operational.

This week, the Sovereign Government of the Island Nation of Nevis filed a motion asking the Delaware bankruptcy court to abstain from hearing the bankruptcy case filed against the hotel's owner, Hotel Equity Fund V, LLC. The Nevis government believes the resort's continuing closure, and the potential impediment to the resort's reopening resulting from the bankruptcy filing, constitutes a "national emergency" for the island, as the Four Seasons resort is the island's largest employer.

Gallery: Four Seasons Nevis

A view of the swimming pool at the Four Seasons Nevis

Tags: bankruptcies, bankruptcy, bankruptcy court, BankruptcyCourt, Caribbean, caribbean destinations, caribbean vacation, CaribbeanBeaches, CaribbeanTravel, Four Seasons, Four Seasons Nevis, Nevis

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Movement Shock: BNB Concept To Declare Bankruptcy

by Ariel Adams (RSS feed) —

Filed under: Timepieces / Watches

Shocking news in the world of watch movements as BNB Concept looks like it is going to close its doors. The highly respected complex watch movement maker looked like a star of the independent high-end watch industry. BNB Concept was responsible for the design and manufacture of a number of ultra complex (and expensive) watch movements for many watch brands. For example, its seems as though most of the tourbillon movements that aren't in-house made by a brand are sourced from BNB Concept. They even began their own exclusive watch brand with the Confrerie Horlogere. Founder Mathias Buttet really changed the watch industry over the last few years, and BNB Concept is, and has, been in very high demand. Now that is all over. So what happened?

Unpaid bills. Literally millions of them. BNB Concept has no cash. Problems arise not only in account payables, but account recieveables. While BNB Concept was doing great on paper. No one was paying them. With dozens on customers who haven't paid, BNB Concept has an utterly insufficient cash flow. It looks as it is another victim of the hurting luxury watch world. Because BNB Concept's customers could not pay it, BNB Concept itself had not enough cash to stay in business. Reports all suggest an extremely expensive overhead. With lots of highly trained labor, high-tech facilities, and not to mention lots of expensive machinery, BNB Concept was underwater before it knew what hit it.

The official announcement of their bankruptcy is expected to come soon. This will likely mean that the company will be closing, as no one wants to buy them and end up trying to collect from customers or paying all the bills. Though to be honest it isn't 100% clear what they will do. Hopefully the "talent" will be transferred elsewhere. While the news is sad for lovers of high-end complex independent watch brands, it is sadder for the watch industry as a whole. Consider it a major step back in giving independents a chance to assert their innovative designs without having to spend years themselves designing and making movements.

Via Business Montres.

Ariel Adams publishes the luxury watch review site aBlogtoRead.com.

Tags: bankruptcy, bnb concept, BnbConcept, close, mathias buttet, MathiasButtet, movement, swiss, watch

Lenny Dykstra's Patek Philippe and More at Auction

by Jared Paul Stern (RSS feed) —

Filed under: Timepieces / Watches, Auctions, Celebrity Shopping, Sports, Wealth

My colleague Deirdre Woollard has been entertainingly chronicling former baseball star Lenny Dykstra's travails in bankruptcy court. Now it seems the hard-charging athlete-turned-entrepreneur is trying to raise a little ready money by selling off some of his prized possessions. Among the lots at Patrizzi & Co.'s Dec. 14th Exceptional Watchmaking Masterpieces auction in NYC is Dykstra's 18K white gold Patek Philippe (above) made in 2004. The fine and rare annual calendar timepiece shows the phases of the moon and has a power reserve indication. Estimated at $28,000 - $ 35,000, it comes accompanied by a photograph of Dykstra playing with the New York Mets. Also included in the sale are two major pieces of Dykstra sporting memorabilia: a 1986 New York Mets World Series trophy and plaque, estimated at $18,000 - $25,000; and a Silver Slugger Award from 1993 with a Louisville Slugger bat and National League Player of the Week 1990 plaque, estimated at $12,000 - $16,000.

UPDATE: Dykstra's Patek sold for $28,000, on the low end of the estimate.

Tags: athlete, bankruptcy, baseball, Lenny Dykstra, LennyDykstra, Patek Philippe, PatekPhilippe, sports

Henry Dunay Designs Closing

by Deidre Woollard (RSS feed) —

Filed under: Jewelry

Sad news for fans of jeweler Henry Dunay. Over the summer Henry Dunay Designs filed Chapter 11. Now it has been announced that the brand is officially over. An auction of the company's inventory is scheduled for December 16. Dunay told National Jeweler that he is not giving up the jewelry business completely and that he will still be doing special orders and custom pieces. As he puts it, "they're not getting rid of me yet." Good news for anyone who is a fan of Dunay's unique wearable works of art. He can be reached for special orders by calling the numbers used for Henry Dunay Designs: (800) 888-2525 or (212) 768-9700. For more information on the Dec. 16 auction, contact Jay Silverberg, Dunay's attorney from the New York office of Sils, Cummis and Gross, PC, at (212) 500-1587.

Gallery: Henry Dunay Designs

Tags: bankruptcy, henry dunay, HenryDunay, jeweler, jewelry

Majestic Star Casinos Files For Bankruptcy

by Deidre Woollard (RSS feed) —

The tough times for casinos continue. Casino operator Majestic Star Casino LLC filed for bankruptcy this week. The move was an a last ditch move after months of talks to restructure debt failed. Majestic Star owns casinos in Indiana, Mississippi and Colorado. The Majestic's parent, Barden Development Inc, is not part of the bankruptcy. Court documents show that the Majestic Star and its affiliates have assets of $402.1 million and liabilities of $771.1 million as of October 31.

The company has said that increased competition and the ongoing recession are to blame for the company's woes. The two casinos and hotel along Lake Michigan in Gary, a casino-hotel in Tunica County, Mississipi, and a casino in Black Hawk, Colorado are all still open for business.

The company operates two casino boats on Lake Michigan in Gary, Indiana and has been working on getting a land-based casino in Gary. Last summer, Indiana lawmakers voted down a measure to allow this. The Majestic Star owes the city of Gary $7.4 million but the mayor of Gary, Rudy Clay has said he still plans to work with casino owner Don Barden to change Indiana law to allow a land-based casino in the city.

Tags: bankruptcy, casinos, majestic star casinos, MajesticStarCasinos, michigan

Joe Francis Owes Nearly $34 Million, May File For Bankruptcy

by Deidre Woollard (RSS feed) —

Filed under: Crimes and Misdemeanors

Perennially smiling entrepreneur Joe Francis might not have so much to smile about now. The Girls Gone Wild Founder may owe nearly $34 million in taxes. Francis has been served with a tax lien that says that he failed to pay $17.7 million in 2001, $11.2 million in 2002 and $4.9 million in 2003. Francis told TMZ that he doesn't owe the money and that the lien is "total retaliation for me beating them in court." A couple of weeks ago a judge approved a plea deal letting Francis plead guilty to charges of filing false tax returns and bribing jail workers and sentencing him to time served and a year of probation. Francis is planning to file for personal bankruptcy.

After the jump, check out a video of Francis on the television show "Life of Luxury." It showcases his extravagant spending on yachts, homes, exotic cars, jets, and of course, entertaining beautiful young women.

Source

Tags: bankruptcy, debt, girls gone wild, GirlsGoneWild, irs, joe francis, JoeFrancis

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Yohji Yamamoto Files For Bankruptcy

by Deidre Woollard (RSS feed) —

Filed under: Apparel

Japanese fashion designer Yohji Yamamoto recently presented his black, white and edgy designs at Spring-Summer 2010 fashion week in Paris but things weren't so rosy behind the scenes. The brand has filed for bankruptcy protection listing debts of six billion yen, or $67.8 million. The firm is planning to continue to operate while in bankruptcy. The brand Yohji Yamamoto was formed by the designer in 1984 and he is part of an influential group of designers from Japan, including Rei Kawakubo and Issey Miyake, who gained influence in the 1980s. The brand's moderately priced Y-3 line with Adidas is set to continue.

The economy is being blamed for the financial situation. Japan's luxury market appears to be less robust lately, especially in light of the recent announcement by Versace that it is closing its Japan boutiques. But Yamamoto's popularity extends beyond Japan. The minimalist line, which offers easy-to-wear clothing with unique cuts, has a small but devoted following. Other nIche brands like Escada and Christian Lacroix has faced similar financial woes. As in other industries smaller fashion businesses often don't have the resources or name recognition to compete once overall spending goes down. Another determining factor for many of the smaller brands has also been the decrease in orders from department stores. As stores and boutiques trim their orders many of the less well-known brands are being left behind.

UPDATE:Yohji Yamamoto Inc. has found a new investor. Integral Corp., a Japanese private equity fund, will finance the company's restructure. WWD says that pending court approval, Integral plans to create a separate company to acquire the Yamamoto business and assets which will become the new Yohji Yamamoto Inc. with Yamamoto himself retaining a minority stake.

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Recent Bankruptcy Filings

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Koji Sasahara, AP

Tags: bankruptcy, fashion, versace, yohji yamamoto, yohjiyamamoto

Copia Goes Up For Sale

by Deidre Woollard (RSS feed) —

It looks like Copia, the the American Center for Wine, Food and the Arts in Napa Valley, is finally down for the count for good. Its Napa site is being sold by Alvarez & Marsal Real Estate Advisory Services LLC which has been retained by ACA Financial Guaranty Corp. to market and oversee sale of the property. Copia closed last November and filed for bankruptcy. The prime real estate includees 17 acres on the Napa River over three contiguous parcels. It may be sold or leased as a whole or as individual pieces.

The Copia building is a two-story, 78,632-square-foot building that includes a teaching kitchen and rooms for exhibits and the grounds include expansive gardens. The Napa nonprofit was the dream of wine great Robert Mondavi who envisioned it as a centerpiece for the wine tourism industry in Napa Valley. No sale price has been listed and it's not clear if it will be used again as a tourist destination although the size and design of the facility doesn't lend it to many other purposes.

Source

Tags: bankruptcy, copia, napa valley, NapaValley, wine, wine tourism, WineTourism