One upscale gated Utah golf/ski community developer appears headed for economic oblivion, according to yesterday's story in NewWest.net:
Creditors for the Promontory Club near Park City, Utah, are trying to force the upscale, gated golf community into bankruptcy.Are plush, gated McMansion communities "a sure thing" for Utah economic development?
An “involuntary petition” was filed in bankruptcy court Friday, about two weeks after a Utah judge said the club would likely seek bankruptcy protection if it couldn’t find funding to solve its financial woes.
The club, suffering from stagnate home sales, owes international banker Credit Suisse about $280 million, but it was a handful of other banks with smaller claims that filed the paperwork Friday. (Fully secured creditors cannot file involuntary petitions.) [...]
Promontory filing for bankruptcy protection appeared to be imminent after it and Credit Suisse didn’t come to terms on the sale of Promontory’s operating and development companies to the bank. Credit Suisse then sued Promontory claiming the club had not fulfilled obligations to the lender, according to a story that ran in the Park Record. [...]
Promontory, three miles east of Park City, dubs itself “a family-friendly, luxury second-home community in the heart of Utah’s Rocky Mountains, where legendary skiing meets world-class golf.” The development plan includes about 2,000 homes on 7,000 acres and boasts a Jack Nicklaus Signature Design golf course.
Is the golf & ski nexxus a formula for certain success?
Evidently not...
Hopefully Boss Godfrey and his crony Chris Peterson are taking careful notes.
