Provincetown, MA (PRWEB)
September 14, 2017
After Harbor Hill Condominium Trust filed for bankruptcy (case number 16-3349-JNF), Lemonjuice Capital raised a critical issue: The real estate of Harbor Hill belongs only to the owners of Harbor Hill timeshares. According to Alexander Krakovsky, Lemonjuice Capital CEO, sale of the real estate should be concluded by owners, and not the bankrupt Trust. Bankruptcy sale for an asset not owned by the Trust could violate property rights and muddle the title. This would not be in the interest of any good faith party.
Reviews of the facts led all parties to agree. The Trust bankruptcy and timeshare termination processes were changed to ensure that property rights are respected. Provincetown Housing Trust, a municipal entity that planned to acquire the real estate in the bankruptcy sale, was still named the property buyer in the termination agreement with owners.
Lemonjuice Capital acquired some of the assets from the bankruptcy estate that do not include real estate. Lemonjuice also bid in a public foreclosure auction for defaulted Harbor Hill timeshares and acquired some of the lots. Other winners at the auction were the bankruptcy estate itself and Lexvest, a local real estate developer. Lexvest is not affiliated with Lemonjuice. Prices in the auction were frequently pushed to a multiple of the reserves.. Proceeds from the bankruptcy sale and foreclosure auction allowed the estate to pay off senior debts and fund the termination process on behalf of timeshare owners.
Lemonjuice Capital agreed to continue advising the estate on the Harbor Hill timeshare termination process as needed for $1.
Alexander Krakovsky, the CEO of Lemonjuice Capital said, “When property is expropriated without due process, even for ostensibly socially desirable goals, everybody ultimately suffers. Timeshare title issues are especially complicated because of the sheer number of owners (over 1,300 at Harbor Hill) and many other stakeholders, such as management, developers and boards. Getting the title right from the start is very important because damaged title can create problems down the road after a lot more work and money have been expanded. Resolving this problem early made the process a lot better and…