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Foreclosure Hearing Delayed Amid Possible Main Street Lofts Sale

1 min read

A court hearing that would have kept the foreclosure train moving on the Main Street Lofts project was postponed Friday morning.

The 11th hour move in Pulaski County Circuit Court amounted to a 60-day timeout concerning the financially troubled downtown Little Rock redevelopment.

The mutually agreed delay appears to be linked with a potential sale to an investment group led by Sam Alley, CEO of Little Rock’s VCC general contracting firm.

The unfinished three-building, 125,000-SF redevelopment at 510-524 Main St. went dormant after Scott Reed and his partners apparently ran out of money.

Today’s hearing was expected to produce a $900,000-plus judgment for Little Rock’s AMR Construction.

The company won an arbitration award in March for legal expenses and its unpaid work on Main Street Lofts.

AMR walked off the job 15 months ago after the ownership group failed to come up with money to keep the over-budget, behind-schedule project moving.

Two lenders have a dog in the financial hunt but haven’t formally entered the fray: Riverside Bank of Sparkman (Dallas County), which holds a $3.2 million mortgage on the property; and the Pulaski County Brownfields Revolving Loan Fund Committee, which holds a $916,000 mortgage.

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