Taylor Bend owners file for bankruptcy – the Oxford Eagle

Nelson Taylor Bend Brothers 2, LLC. filed for Chapter 11 bankruptcy in Mississippi Northern Bankruptcy court on Wednesday, the same day the property was scheduled to be put up for public auction due to the foreclosure.

Residents of the 80-unit complex recently raised concerns about utility outages and management issues due to financial issues with owners.

The bankruptcy filing was filed by the company’s attorney, Craig Geno, at 10:43 a.m., just 33 minutes before property trustee and attorney John D. Mayo commenced court proceedings. Lafayette County Chancellery to auction the property.

Mayo, who later said he was unaware of the case at the time, opened the auction with a $ 7.6 million bid from the North American Savings Bank, which held the mortgage on the Taylor Bend apartment complex.

The sale was quickly concluded without a bidder on the property. Since the owners file for bankruptcy online prior to the sale, the auction was called off and the sale did not take place.

While this is a more expensive alternative to filing for Chapter 7 bankruptcy, filing for Chapter 11 bankruptcy allows the organization to reorganize itself, pay off debts and investors, and become a profitable organization.

The bankruptcy filing does little to allay the concerns of resort residents, whose water and internet services were disconnected by utility providers in July due to lack of payment from resort owners. .

Although the water service has been restored, residents told city officials they faced a host of ongoing management issues, including broken air conditioning units, moldy washing machines, bad water. quality and uncut grass.

Many are worried about what to do with the money they have deposited on the resort’s residents’ portal for future leases, especially if the landlords file for bankruptcy.

“Personally, I feel for [the Taylor Bend apartment residents], but it’s now in the hands of the bankruptcy court, ”Mayo said.

Geno could not be reached for comment this afternoon.

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