Commerce Bank continues to push forward in its effort to sell Izatys Resort, which was converted to Chapter 7 Bankruptcy in September. As you may recall, the resort was sold at Sheriff's Sale in Mille Lacs County on October 28th and was purchased by Commerce Bank for 3.2 million dollars.
Since then, rumors have flown as to how many investors and/or groups are actually interested in the property. We touched base with Barry Hines, who is the interim property manager for Commerce Bank on Monday for an update.
"The bank has been in contact with two potential groups in the last week," said Hines, who spent five years as the golf course superintendent at the resort. "The current owners are another potential buyer working on financing as well." That means three groups are still in the fray and Hines said the bank wouldn't release the names of the other two interested parties.
"The bank is still stating that they don'
t forsee a deal being struck before the December 28th deadline," Hines said. The redemption period of the sheriff's sale ends on December 27th. With the current economic situation, there has been speculation that the bank might have trouble unloading the property as banks nationwide have tightened lending for such ventures.
Hines' duties include building checks, coordination for security, giving tours to potential investors and checking in with the bank on a daily basis.
Will we have new owners at Izaty's Resort by the New Year? We will keep you updated on what we hear.
Monday, December 1, 2008
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3 comments:
which of these groups is the front-runner or who would be best for the mille lacs area?
who ever has the most money and doesn't care if they make any money, in the next 7 years.
Is there such a thing as a group with money right now?? I can't imagine there is anyone too flush with cash to make this work the right way. There has to be some serious doubts to if ANY group can perform on the purchase let alone have the investment power to make it seven years. I sure hope the current owner's don't resurface and put us through the misery again. They gave it their all but were clearly underfunded. We need to spuuort the new group and hopefully they will be savvy businessmen!!
The last thing the area needs is a half ass attempt or a buyer who wants to suck more life out of the community.
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