Office building developer files for bankruptcy Company cites dispute with bank

July 29, 1993|By Consella A. Lee | Consella A. Lee,Staff Writer

Developers of the Winmark Center I commercial office building on Route 175 in Odenton have filed for Chapter 11 bankruptcy in U.S. Bankruptcy Court in Baltimore.

The bankruptcy filing stems from "a long-standing dispute" with NationsBank, which is financing the center, said Jay Winer, a general partner in Winmark Limited Partnership, the center's developer and manager.

"There's been some litigation, and it got to the point where the only way to resolve things was to reorganize through bankruptcy court," said Mr. Winer. He said he could not discuss specifics of the dispute because of litigation concerns.

The 25,000-square-foot Winmark I, which has about eight tenants, was built in 1989. The developers' assets were listed as $2,319,474 in the bankruptcy filing. Liabilities were listed as $2,494,027.

The bankruptcy filing will have no effect on the present construction or leasing of another office building, Winmark Center II, being built on Odenton Road near Winmark I, Mr. Winer said.

Construction of the 40,000-square-foot Winmark Center II should be completed in October.

The Johns Hopkins Health System has leased 11,000 square feet in the new center. Hopkins plans to move in this fall with doctors who will provide general medicine and specialized health care, such as optometry and pediatrics.

Winmark Center II is the first major commercial office building built in Anne Arundel County since 1991. It is managed by AJ Properties, another real-estate development business of which Mr. Winer is president.

Bankruptcy for Winmark Center I was filed July 20 by Paul M. Nussbaum of the law firm of Whiteford, Taylor & Preston in Baltimore. Neither Mr. Nussbaum nor lawyers for NationsBank could be reached for comment.

Chapter 11 bankruptcy is primarily meant to allow a business to restructure its debt.

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