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Whither Conneaut Lake Park Now?


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And now, local sources indicate that Park Restoration LLC, alleged operator of Hotel Conneaut, has also filed a Chapter 11 bankruptcy. Local media reports give NO status for the Trustees of Conneaut Lake Park bankruptcy. The latter claimed earlier to terminate the lease under which Park Restoration claimed to operate the hotel.

The same judge was assigned this case.

Remember, too, that the Beach Club insurance proceeds were tied up in this mess, yet now they do not appear to be included as a Park Restoration asset.

The plot (plat?) thickens.

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"It's a defensive move to make sure our creditors are paid in full and that we remain operational," Greg Sutterlin of Park Restoration LLC said Tuesday. "We intend to remain fully operational and maintain the balance of our long-term lease."

 

http://www.meadvilletribune.com/news/local_news/hotel-conneaut-operator-files-for-bankruptcy/article_f465d153-0855-500d-a619-9c39f781ad90.html

 

The fight for the Beach Club insurance money continues......

 

My guess is Park Restoration knows the park itself is going under & wants the (well deserved) insurance $$ from the Beach Club.

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Browntggrr was right:

http://www.goerie.com/conneaut-lake-park-creditors-wont-approve-reorganization-plan

The park has lost nearly a half million dollars so far this year.

Finally, a detailed analysis in the media.

It appears, by contrast, that the Meadville paper either doesn't understand legal cases and/or has a motive to engage in boosterism that affects its reporting.

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"Past performance cannot be a judge of present and future performance because well-intentioned volunteers lacking necessary business acumen, along with court-appointed custodians also lacking necessary business acumen, had run the park for the last 14 years into a state of disarray," park attorney George Snyder said in court documents.

 

http://www.goerie.com/judge-to-hear-arguments-on-conneaut-lake-park-reorganization#

 

Is he actually arguing that the current trustees DO have the necessary business acumen??  The same group that chose not to have fire insurance but want to reap the benefits because one of their tenants paid for it on their own??

 

**smh**

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  • 2 weeks later...

I'd imagine that if the bankruptcy judge and creditors know their business, a ride auctioneer would soon be involved.

We are again in one of those odd media blackouts--the creditor plan was slated to be filed last Friday.

I get the odd feeling that media coverage happens here only when one of the parties comes forward and offers an interview, a press release, &c.

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Post from the park on Facebook yesterday:

 

Update:

 

At the most recent hearing before US Bankruptcy Judge Deller on October 9th we reported that despite our best efforts, a consensual plan of reorganization for CLP was not possible as no modification to our plan would likely be supported by either the Taxing Authorities or First Capital Finance (Ron Anderson). Also, the Taxing Authorities sought and secured authorization to submit a competing plan to permanently shut down and liquidate the assets of Conneaut Lake Park to pay creditors.

 

Judge Deller ordered the Taxing Authorities to submit their competing plan by October 16th, indicating the likelihood that both plans would eventually be submitted to creditors for a vote before the court formally authorizes a final plan.

 

Last Friday the plan to liquidate Conneaut Lake Park was filed by the Taxing Authorities and will be subject to a hearing in about three weeks. This plan generally involves transferring control of the assets of CLP to the Taxing Authorities who would then sell them all to satisfy back taxes and potentially other debts of the Park. This plan calls for the permanent discontinuation of all operations relating to Conneaut Lake Park and the eventual dissolution of the Trustees of Conneaut Lake Park, Inc. Additionally, and of critical importance, the liquidation plan presented contemplates the removal of the deed restriction currently in affect that grants public access to the lands of Conneaut Lake Park, and the “rejection” of all existing cottage leases regardless of their vintage.

 

In our view, if implemented, the Liquidation Plan would have a disastrous effect on those owning or leasing cottages in the area as no provision has been made to assure either road access or water services to properties after the proposed liquidation.

 

The Liquidation Plan stands in stark contrast to our Plan of Reorganization. Our Plan pays the debts, saves and revitalizes the Park for future generations, and promises considerable positive economic and social impact for the region. The competing plan seeks only the repayment of debt without regard for the adverse impact liquidation will have on existing or future residents or the region.

 

As this process of competing plans continues to develop, we urge those in support of our plan of reorganization to remain engaged and to be ready to voice your opinions to the Court with regard to the Taxing Authorities’ proposal to eliminate the public’s right to access and utilize Conneaut Lake Park.

 

On a very possitive note, Judge Deller seems to have recognized our collective efforts in support of CLP as he noted the increased use and activity at the Park this past season.

 

We will keep you posted as to important developments in support of the reorganization and revitalization of Conneaut Lake Park.

 

Please stay tuned and supportive…

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Theoretically speaking...

If the park's assets went up for auction, could any old member of the public place bids on things? The Blue Streak sign would look really nice above my car when I have a garage...

Perhaps. If a ride auctioneer were used, things would be sold individually and as a group, with the higher bid(s) prevailing.

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