Bank Seeks Receiver in $28.5M Pheasant Run Foreclosure
Fixture on St. Charles far east side stopped making loan payments earlier this year, records show.
The lender who filed a foreclosure notice on Pheasant Run Resort in July wants a judge to appoint a receiver to run the property, according to court records.
Attorneys for U.S. Bank and CWCaptial Asset Management—which issued a $29 million loan to the longtime St. Charles resort in 2006— are expected to renew their request during a hearing scheduled for Thursday in DuPage County. If granted, the receiver would oversee operations in order to protect the lender during the foreclosure process.
Pheasant Run was hit with foreclosure in a 215-page claim filed in July. The bank claims Pheasant Run didn't make payments for several months this year and now owes $28.5 million in principal, interest and penalties, court documents show.
"Borrower has failed to pay the monthly installments of principal and interest due ... beginning in April 2011 and continuing through (July 1)," the suit states.
An attorney representing the lender declined comment on Wednesday. A Pheasant Run attorney did not immediately return a phone call.
Pheasant Run sits on 250 acres along East Main Street in the DuPage County portion of St. Charles. It features luxury hotel rooms, a spa and two golf courses, among other amenities.
Its meeting and convention space has hosted a variety of events, ranging from billiards tournaments to an annual Corvette show.
David McArdle, who runs Pheasant Run, told Crain's Chicago Business he was "confident" that something would be worked out with the lenders.