A decision on whether PB Riverfront Revitalization of Jacksonville LLC, owner of the imploded Berkman II condominium property Downtown, can declare bankruptcy was delayed when the man who represents the company showed up to an April 10 court hearing late and without a lawyer.
PB Riverfront, represented by Park Beeler, filed for Chapter 11 bankruptcy March 22 in the U.S. Bankruptcy Court, Middle District of Florida.
That canceled a March 25 foreclosure auction for the riverfront property at 500 E. Bay St.
The creditor and plaintiff in the case, Atlanta-based Choate Construction Co., is requesting the bankruptcy be dismissed so it can proceed with foreclosure of the property.
Judge Jacob Brown presided at the April 10 hearing at the Bryan Simpson U.S. Courthouse.
Nelson Mullins attorney Lee Wedekind, who represents Choate, said the company is uncertain whether PB Riverfront is insured or has employees, aside from Beeler. He said Beeler has been unresponsive since the bankruptcy filing.
Beeler said he was healing from surgery.
“This is not good,” Brown told Beeler. “You know you needed an attorney today.”
Brown ordered Beeler to have an attorney by April 15 and begin making monthly payments to Choate of approximately $46,000 until its $5,125,739 debt to Choate for principal, interest, late fees, property taxes and attorney fees is paid in full.
Brown calculated an 11% interest rate during recess. Beeler also is required to provide proof of a liability insurance policy, a list of its creditors and a statement of financial affairs by April 16.
“The requirements need to be satisfied,” Brown said. “Maybe then I’ll give you a shot.”
Beeler said he is negotiating with estate planning and bankruptcy law firm Rise Up Legal to serve as counsel.
This is not the first time Choate, the general contractor on the Berkman II project, foreclosed on the property.
After being granted a $10.2 million judgment and lien, Choate was the lone bidder in a foreclosure auction and secured the property for $100 in April 2014.
In April 2021, Beeler announced plans to demolish the unfinished structure and build a $135 million mixed-use project in its place.
That didn’t happen, so after months of delays, the city condemned the property and took over the demolition preparation from PB Riverfront in January 2022.
City Council approved a $1.2 million emergency appropriation to pay PB Riverfront’s demolition contractor, Pece of Mind, to finish its work.
The concrete shell was imploded March 6, 2022, after being abandoned nearly 15 years earlier.
Construction stopped in December 2007 when the parking garage for the building collapsed, killing one worker and injuring others.