David Jennis is lead bankruptcy counsel for Leestma Management, owned by Adelaide Point developer Ryan Leestma, which filed a voluntary petition for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Middle District of Florida on April 1st. Leestma Management is based in Bradenton Beach, Florida.
In January, at the request of Ionia-based Independent Bank, a Kent County judge appointed a receiver over portions of the $85 million mixed-use marina project on Muskegon Lake. The lender accused Leestma of defaulting on loans and owing more than $28 million in principal.
Jennis has stated the case is unusual for a Chapter 11 filing because “typically a business enters bankruptcy with assets well below the overall debt. We have an issue where one lender has taken partial control of a multi-entity project and is placing its interest above those of other creditors, the owners of Adelaide Pointe, and the clients and tenants of the overall project.”
Total assets of the case are around $91 million with total liabilities around $61 million.
The filing indicates Leestma could sue Independent Bank for more than $35 million in damages.
For a weekly dose of news right to your inbox, sign up for the WGVU newsletter.
