LOUISVILLE, Ky. — A judge recently placed a Louisville skyscraper in a receivership after its owners defaulted on a $28 million loan, according to new court documents.
A lawsuit was filed in June by lender Wilmington Trust National Association in Jefferson County Circuit Court, and accused the owners of the Meidinger Tower of failing to make a monthly payment of $142,204.82 last November. The plaintiffs also claim the owners have not made a payment in any subsequent month.
The 26-story Meidinger Tower is located in the 400 block of 4th Street, near Fourth Street Live. The owners of the building are listed in the lawsuit as Florida-based In-Rel Properties.
An In-Rel spokesperson did not respond to a request for comment Monday.
According to court documents, Wilmington Trust sought to foreclose on the property and sell its assets. They claim the owners of the skyscraper owe $27,791,654.43 in outstanding principal, and an additional $3,395,539.31 in late fees and other charges.
On July 1, court documents indicate a judge granted a motion to send the building into a receivership. Jonathon Margolis, of Michigan-based Farbman Group, was given control of the building and its assets.
He was also given authority to pursue a sale of the tower.
Downtown Louisville has seen a mixed bag of results in the years following the height of the COVID-19 pandemic.
In February, Humana announced plans to vacate its downtown building on Main Street within two years. Officials said the workforce shifted to more flexible work styles in recent years, leading to the company to reevaluate how much office space it needs.
One day later, Fifth Third Bank announced it would be moving all employees out of its downtown building and into a space in NuLu.
Last week however, plans were revealed for a new $175 million, 27-story building with a hotel and ballroom near the KFC Yum! Center.
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