Posted 9/24/2012 12:00 am
Updated 2 years ago
The complex in question is the St. John's Apartments in southwest Little Rock. According to a suit filed in Pulaski County Circuit Court, Regions Bank is trustee in the loan agreement. Regions alleged that David Henry, owner of Henry Corp., has "failed to keep the mortgaged property and personal property in proper order."
Regions alleged that, in August, Henry made an urgent request for $63,000 from some of his partners. He needed it for overdue water and power bills, air-conditioner units damaged by residents and canceled insurance.
'Do Not Move Here'
If Google reviews are to be trusted, the apartments were indeed in bad shape.
"Do not move here," one review from earlier this year asserted, "bad staff, AC don't work in most apartments."
According to the suit, Regions paid some of the request.
"Mr. Henry acknowledged that he was at a point where he did not have any cash left to pay the bills," the suit stated.
Regions is requesting the court allow it to take possession of the apartments' operations to "maximize its value, to collect the income derived therefrom and to take such further action as may be necessary in order to operate the St. Johns Apartments in a commercially reasonable manner."
Henry wasn't available for comment.
We understand that his Henry Management affiliate recently was removed from management of Plaza Towers Apartments, a 132-unit high-rise project in Little Rock.
You might recall that residents of Plaza Towers were visited by fire and flood this year.
You also might remember that Henry was in trouble with city officials who labeled his Valley Heights project a nuisance property.