The Real Deal Miami

Developers of SoBe’s Artecity file for Chapter

July 28, 2010 09:45AM

Artecity on South Beach

Faced with the loss of their project to a foreclosure auction, the developers of the Artecity project on South Beach have filed for
bankruptcy. Seven entities related to the project made filings
in bankruptcy court Tuesday, with liabilities ranging from $10
million to $50 million. The filings were made in an effort to stop the
foreclosure lawsuit filed in March by Corus Construction Venture, which
is a partnership between the FDIC and Starwood Capital Group. Artecity was intended as
a 202-unit project, divided between a new building and a renovation of
the Governor Hotel. Of the 60 completed units, 41 have been sold, but
just one of those has sold since the beginning of 2009. [SFBJ]