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Revel Sale Falls Thru Again
Monday March 16,2015 : THIRD REVEL SALE DERAILED (Update)
Bankruptcy court judge refuses to authorise sale to Florida developer.
Atlantic City bankruptcy court Judge Gloria Burns finally decided Friday not to approve the sale of the Revel building to Florida property developer Glenn Straub, despite his being the firmest offer on the table at present, and his commitment of a deposit and escrow funds worth a total of $82 million for the sale
Her decision leaves the multi-story complex, originally built just two years ago for $2.4 billion, without a firm and committed buyer, although as reported earlier there has been a recent flurry of interest in the sale from property developers in New York and Los Angeles.
The Associated Press news agency reports that this leaves the asset open to foreclosure by main lender Wells Fargo, or liquidation and the sale of the property piecemeal.
The parties will be back in court Monday, when Judge Burns will hear arguments by Revel asking her to reconsider her decision against Straub, along with requests from the building's owed power supplier to appoint a bankruptcy trustee in place of Revel's owners and liquidate the asset.
Making her ruling Friday, Judge Burns said that amendments by Revel's owners and Straub to the original sales contract, along with elements of the sale that are still subject to legal appeals, means she lacks jurisdiction to approve the Straub deal.
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