chicago-condos & Chicago Real Estate pcherry on 05 Jul 2009 05:30 pm
Chapter 7 For Sienna Developer
July 5, 2009 - Chicago real estate developer Thomas Roszak of Vetro and Sienna fame has filed for both personal and business Chapter 7 bankruptcy. Roszak garnered a lot of press back in March of this year for the wildly successful auction of 45 Vetro condos, but the Evanston News/Pioneer Local reports the developer stated that, “Given the status of our projects, the timing of the recession severely undermined our ability to wait for economic recovery,”
Roszak has an estimated personal worth between $1 million and $10 million, while his business assets are less than $50,000 with liabilities between $10 million and $50 million.
The Sienna project in Evanston is ongoing, with two buildings and 120 units already up. The project was initially going to have four towers, but sales just didn’t happen. But disputes about handicap access not being completed and a large construction hole that was excavated has recently put a cloud over the development. Jane Doyle of the Center for Independent Futures was quoted in the article as saying that, “The situation is unacceptable for all residents, but particularly some of the individuals with physical challenges.”
Some of the units were specifically marketed and sold to disabled buyers, and now Roszak is facing a suit filed by Illinois Attorney General Lisa Madigan for code violations. He is also being sued over a parking garage that caved in under one of Sienna’s towers back in 2007.
Chapter 7 bankruptcy usually doesn’t mean the survival of a company, as everything is usually sold to pay debts. Despite the problems, Roszak told the Pioneer that, “Our completed projects are a testimony to the skill, high quality and architectural vision we brought to development.”
Hopefully more developers of Suburban Chicago Condos won’t find themselves in the same financial hole.
Technorati Tags: Sienna, Suburban Chicago Condos, Chicago Real Estate
