A creditor appears to be holding all the cards regarding a South Carolina luxury resort that was created by Citadel graduate and author Pat Conroy in the 1980s. The resort is said to currently hold a mere $18 in its bank account. The foreclosure process was initially paused and the property made available to potential buyers in a short sale auction; yet, no one has come forward to submit a formal offer.
The 400-acre resort is situated across from Hilton Head Island. Any and all offers to purchase it were due on a recent Tuesday. The asking price was thought by many to be quite minimal at $19 million. An attorney representing owners of the resort said no qualifying bids were submitted.
A hearing in a U.S. Bankruptcy Court is now scheduled. The resort’s largest creditor, said to be owed millions on the account, is expected to leave the hearing with ownership title in hand. Future plans for the property, which once included an active golf course, marina, inn and rental cottages, have not been disclosed.
The short sale process is often an option to prevent foreclosure. There are sometimes also bankruptcy options available that allow the current owner of a property to retain ownership while submitting payments to satisfy existing mortgage debt. What works in one particular situation may not be a viable option in another; this is why most South Carolina property owners seek advice from experienced bankruptcy attorneys before determining how best to proceed to resolve their financial crises.
Source: postandcourier.com, “On business: Fate of bankrupt South Carolina resort could be finalized this week”, John Mcdermott, Aug. 26, 2017