Posted 8/5/2009 06:26 pm
Updated 1 year ago
Fayetteville developer Brandon Barber has filed a Chapter 7 bankruptcy petition listing $47.8 million in debts and no assets.
According to the petition filed Friday, $23.5 million of Barber's debt is tied to creditors holding secured claims, including a $15.85 million claim by Enterprise Bank & Trust in Clayton, Mo.
(A 23-page PDF copy of the petition can be viewed by clicking here.)
Other creditors include First Arkansas Bank of Jacksonville (about $5 million), First Federal Bank of Arkansas ($2.9 million), Huntsville-based First State Bank of Northwest Arkansas (about $9.7 million total), Arkansas Bankers' Bank of Little Rock ($750,000) and Timberland Bank of Hoquiam, Wash. ($250,000).
Barber also lists a $8.47 million unsecured claim by Legacy National Bank of Springdale and gambling debts totaling $185,000 to the Bellagio and Venetian casinos in Las Vegas.
Barber's Lynnkohn LLC declared Chapter 11 bankruptcy last August after Legacy National Bank filed a $18.7 million foreclosure action against him for defaulting on two mortgages totaling $19.4 million for his Legacy Building project in downtown Fayetteville.
Barber's former wife, Keri Chambers, along with her sister, Laura Chambers, and Laura's former husband, Seth Kafka, were guarantors on the original $16.7 million mortgage on the Legacy Building.
The Chambers sisters are daughters of Johnny Chambers, owner of Chambers Bank of Danville.
Laura Chambers filed for Chapter 7 bankruptcy in May. The Legacy Building has since been foreclosed upon and sold at auction to the banks that financed its construction.
Barber's bankruptcy filing also includes debts related to Bellafont, Barber's mixed-use project on Joyce Boulevard in Fayetteville.
The filing lists a $1.8 million claim from Bellafont business owner Mason Hiba, who filed a lawsuit against Barber in 2007 for failing to have his building completed by the promised date.
There is also $30,000 claim from Precept Builders Inc. of Dallas, the general contractor on the project.