The Real Deal Miami

Bankruptcy judge extends property sale deadline

The debtor company in a Chapter 11 case tied to John B. Kennelly is trying to sell the properties
December 18, 2016 01:00PM

 

The 11-acre parcel 1174-1185 Hillsboro Mile (left) and two smaller lots at 1103 and 1107 Hlillsboro Mile.

A judge extended the deadline to sell a group of South Florida properties for $51.2 million to repay creditors of a bankrupt company tied to home builder John B. Kennelly.

The extended deadline is 5 p.m. Wednesday. U.S. Bankruptcy Judge Erik P. Kimball in West Palm Beach extended the property-sale deadline at the debtor’s request.

The properties include a waterfront parcel covering 11 acres at 1174-1185 Hillsboro Mile in Hillsboro Beach and adjacent lots.

The properties also include 37 home sites in the Enclave at Boynton Waters, a development west of Boynton Beach and across from Estates of Boynton Waters, which Kennelly also developed.

Residents in Estates of Boynton Waters have complained that Kennelly has delayed finishing homes there.

A lender named BI Boca Boynton Portfolio LLC has a $38 million judgment against the debtor. BI has agreed to multiple extensions of a deadline to sell the properties and satisfy the judgment.

Eight companies with links to Kennelly filed for Chapter 11 bankruptcy in 2015 to avoid foreclosure and later consolidated into a single company. [Sun-Sentinel] — Mike Seemuth