Real estate lawyer explains what’s next for The Greene after bank files foreclosure

BEAVERCREEK — The foreclosure filing against The Greene Town Center could impact thousands of people in the Miami Valley.

>>ORIGINAL COVERAGE: Bank forecloses on The Greene for nearly $113 million in unpaid debt

As reported on News Center 7 at 6:00, business owners and shoppers are worried about what will happen to the outdoor mall.

“I don’t know what’s going on. So definitely a little worried, but not too overly concerned,” Integritas Shoes owner Manish Agarwal said.

“I’m sure everyone’s having a conversation in this community. I’ve already gotten three texts this morning from different business owners, ‘What do you think is happening? What’s going on?’” Sonny’s Diamonds owner Sonny Singhvi said.

>>RELATED: ‘There is panic;’ Business owners fearful after bank forecloses The Greene over unpaid loans

Andrew Zeigler with Kennel Zeigler LLC has been a lawyer for 17 years and deals with bankruptcy and foreclosure cases. He reviewed the bank’s filing against The Greene.

He said from an operational standpoint, most people won’t notice much of a difference at the outdoor mall.

News Center 7′s John Bedell asked Zeigler if this would end with new ownership.

“Probably. That’s probably the likely outcome,” Zeigler said.

Wells Fargo will likely take over management of The Greene, according to Zeigler.

Zeigler said the bank would start collecting rent. Then, they would appoint someone else to collect rent, manage the space, and pay the bills.

“And then, you know, the bank will probably try to find a buyer for it to sell the thing all in one shot and see what they can get out of it,” Zeigler said.

>>RELATED: City responds to bank foreclosing on The Greene after millions in unpaid debt

According to court documents, Wells Fargo claims that The Greene defaulted on a loan because management failed to pay the total by its maturity date, which was December 1, 2023.

Wells Fargo says The Greene owes nearly $113 million, which comes from the $137 million loan management took out more than a decade ago, according to a previous News Center 7 report.

Zeigler said the bank will try to recover as much of the debt as they can with any sale, but they may lose millions of dollars.

News Center 7′s John Bedell asked Zeigler how the foreclosure will impact the people who live, work, own businesses, shop, and eat at The Greene.

“My guess is those people will probably not notice any difference,” he said.

>>RELATED: The Greene ownership issues statement after bank forecloses on shopping center

A spokesperson for The Greene Town Center said:

“The Greene Town Center has been actively engaged with its lender, negotiating in good faith and over a period of time, to find a reasonable and mutually agreeable outcome. While we are disappointed with the recent actions of the lender, it is our intention to continue to work with them to find a resolution. The Greene Town Center, which boasts the Dayton region’s largest variety of upscale retail, restaurants, entertainment, office space, and luxury residential units, remains open for business as usual and is excited to announce new and first to market tenants to the Dayton market.”

>>RELATED: The Greene ownership issues statement after bank forecloses on shopping center

We will continue to follow this story.

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