“The Tiber” Condominium Project in Richmond Files Bankruptcy

by San Antonio Attorney

A condo development project called ‘The Tiber’ currently transitions from a filed Chapter 7 bankruptcy to a Chapter 11 bankruptcy.  This event follows after one of its investors approved a loan in order to maintain the development of the project.

A group of buyers of the units expressed interest in funding the reorganization of the condo development project, according to the bankruptcy filing in the United States Bankruptcy court in Richmond.

One of the investors, Willis Blackwood, also a developer, was made a loan guarantor designed to play a huge part in the reorganization plan.

Judge Kevin Huennekens, the bankruptcy court judge, recently granted the petitioner’s request along with the consent of Tiber Partners, the developer of the condo project.

The developers intend to have the ongoing project enter Chapter 11 filing; this provides more opportunity for a reorganization process instead of liquidating its own assets.

The construction of the condo project commenced in 2013 and has the objective of completing the 15-unit development by 2015.  The development’s design consists of 12 flats, a cottage, double penthouses and an underground parking lot.  Majority of the units were sold from price range of $575,000 to $1.15 million.

The development project faced its challenges of delays and the construction was halted when a major contractor was fired last November.

The contractor filed a case against the developer in the federal court due to breach of contract.  This resulted into a legal dispute that ended in a planned auction for foreclosure and a petition for bankruptcy.

Last April, there were three couples who invested into The Tiber, prior to its bankruptcy filing.  They filed an appeal through the bankruptcy court in Richmond.  The intention was to force the development company to file for Chapter 7 bankruptcy.

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