Home News Tepper’s GT Real Estate offers $82 million to pay off Rock Hill bankruptcy

Tepper’s GT Real Estate offers $82 million to pay off Rock Hill bankruptcy

by admin
0 comment

CHARLOTTE, NC (WBTV) – David Tepper’s GT Real Estate has announced a new plan to pay everyone in the bankruptcy of the failed Carolina Panthers headquarters project in Rock Hill.

The announcement from GT Real Estate comes on the eve of a court hearing for GT Real Estate to prepare records, conduct interviews and determine whether there is a need to increase the financial transparency of the company and the project.

In a news release, GT Real Estate said the new restructuring plan would make $82 million available to pay off claims from contractors and York County. From the proceeds of the sale of the property, he has more than $20 million secured in Rock Hill.

The plan was filed in Delaware bankruptcy court today and is still awaiting approval. Funding is provided by DT Sports Holding, LLC.

Initially, GT Real Estate proposed a $20 million Debtor In Possession Financing plan that was strongly opposed by its creditors.

In a news release, GT Real Estate said the new restructuring plan would make $82 million available to pay off claims from contractors and York County.

GT Real Estate describes its plans for the reorganization as follows:

• $60.5 million in cash funded in the Settlement Trust for the benefit of contractors, subcontractors and general unsecured creditors. GTRE believes it is sufficient to pay all authorized claims in full.

• $21,165,000 in cash to reimburse York County for all monies and interest contributed by York County to the project.When

• Over $20 million from net available proceeds (after cleanup and senior billing) of property sales to make payments to the City of Rock Hill.

A source told WBTV that cleanup of the Rock Hill site could cost more than $15 million, but Tepper’s company will cover the cost. This property may be sold to a third party or to the City of Rock Hill.

A spokesperson for GT Real Estate wrote that the company believes the plan is “in the best interests of its creditors” and plans to hold a public hearing in October to determine whether it will be approved. increase. Sources say the $60.5 million pie should be enough to cover most of the claims from contractors, Mascaro/Barton Malow and subcontractors.

“This plan reflects GTRE’s commitment to expeditiously resolve all claims and pay its creditors, including the County of York and the City of Rock Hill. GTRE now has a substantive commitment from DT Sports Holding. With a clear path out of bankruptcy, DT Sports Holding has provided GTRE with more than $82 million in cash to bring the process to an orderly and fair conclusion. rice field.

A spokeswoman for the City of Rock Hill said it had no comment on the new development.WBTV is still awaiting an official response from York County. A source told WBTV that the new plan was settled based on the knowledge of the creditors and the filing was not surprising.

Mike Lowshenthaler, an attorney defending contractors Mascaro/Barton Marrow, said he hopes the new plan will move the bankruptcy case toward a less controversial outcome.

“We believe this plan demonstrates a good faith effort by the debtor,” Roeschenthaler said.

The new restructuring and financing plan was submitted one day before the scheduled public hearings, allowing the books to open for GT Real Estate and several other Tepper companies.

The City of Rock Hill has filed a motion called the 2004 Bankruptcy Rules. It is essentially an “extensive investigation of the debtor’s finances aimed at discovering the property’s assets and detecting fraudulent activity.”

If permitted, GT Real Estate will be required to participate in the deposition and prepare the corresponding documentation.

It is not yet clear whether the city will proceed with the motion at the hearing or withdraw it.

Copyright 2022 WBTV. all rights reserved.

You may also like