Property Problem Not Just About Chicago Foreclosure Homes

by on Foreclosure Crisis

Aside from Chicago foreclosure homes, commercial properties are also exhibiting effects of the housing market crisis. The latest victim is the athletic facility owned by the former trainer of NBA superstar Michael Jordan. A foreclosure lawsuit has been filed against ATTACK Athletics which caters mostly to players of the NBA.

The area has suffered from the impact of foreclosures, including properties under Wells Fargo home listings, and the latest foreclosure suit is not news to the city anymore. The Old Second National Bank has filed the lawsuit against the owner of the Harrison St. facility, Timothy S. Grover.

The training facility will become one of Illinois foreclosures for sale if Grover failed to come up with an agreement with Old Second. Court documents reveal that the bank has loaned $9.9 million to the facility in 2007. Grover has allegedly stopped making payments and has also failed to fulfill tax obligations. The loan balance is reportedly over $8 million.

Like most bank foreclosure homes in the area, the facility has reportedly been hit by the recession and the declining values of properties. Although it is not clear whether former NBA player Michael Finley is involved in the management of the facility, he has also been cited in the lawsuit since he reportedly guaranteed part of the loan.

The facility was built at an industrial piece of land owned by the city and sold at a bargain price, a scenario that has become common when the number of Chicago foreclosure homes started rising in the city. The athletics center features basketball and volleyball courts, a weight room, rehabilitation unit and a swimming pool.

Grover's property is comprised of 55,000 square feet and has been considered a possible venue when the city made a bid for the Summer Olympics of 2016, although the bid was eventually rejected. The place is reportedly in need of remediation. Grover has reportedly revealed earlier that he plans to open the facility to Chicago Public Schools and youth programs.

According to local property market observers, the problem facing the athletic facility demonstrates the far-reaching impact of the property market crisis, with Chicago foreclosure homes just part of the industry-wide problem. Grover has yet to make an official statement about the lawsuit.

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