The investment bank Credit Suisse started foreclosure proceedings against Tamarack Resort with a lawsuit filed in the district court in Valley County, Idaho.
The bank claims the upscale resort defaulted on its $250 million loan. The suit comes in the wake of the resort’s majority owners’ Chapter 11 bankruptcy filing last month.
Tamarack CEO Jean-Pierre Boespflug said in statement that the move was anticipated and will give the resort time to “either refinance, add a partner with additional financing or sell the resort to a suitable buyer capable of managing the asset with the continued interest of the community in mind.”
The possibility of selling the resort outright hadn’t been broached publicly until last Wednesday. Resort operations will continue, though Flynn said the resort may cut back its services during the typically slower end-of-winter and end-of-summer seasons.
Tamarack Resort owes more than $300 million to lenders and international banks, including about $262 million to Credit Suisse, and its majority owners filed for bankruptcy protection in the U.S. Bankruptcy Court in Boise February 15.
The two companies named in the bankruptcy filings are VPG Investments, Inc. and Cross Atlantic Real Estate, LLC.
