Wade Park Land gets 120-day exclusivity extension amid litigation

By Sarah Lizee

Olympia, Wash., Feb. 2 – Wade Park Land Holdings, LLC secured a 120-day extension of its exclusive periods to file and solicit votes on a Chapter 11 plan, according to an order filed Monday with the U.S. Bankruptcy Court for the Northern District of Georgia.

Specifically, the court extended the plan filing period through April 23 and the solicitation period through June 22.

Wade Park said in its motion that the debtors have spent the last 120 days attending to litigation matters, including the filing and service of a lis pendens in Texas. Currently, the adversary proceeding is still pending, with reply brief deadlines still outstanding.

“Although debtors have made significant progress in establishing these cases and the related litigation – which litigation is the centerpiece of the debtors’ Chapter 11 cases – they have not been able to focus significant energy on formulating and filing a plan,” the motion said.

“Indeed, the contents of that plan and the disposition of these cases depend in large part on the litigation which is, so-far, too early along for the debtors to formulate a plan.”

The company said that for creditors other than those who are named as defendants in the litigation, the pendency of these cases does not pose a significant burden.

“In fact, the pendency of these cases and the related litigation position the debtors to address those creditors better than any other option,” the company said.

“In large part, the litigation (which seeks to preserve for those creditors massive equity over and above the senior creditors’ claims) represents the very best chance of creditors having their claims addressed. Nevertheless, that litigation is not far enough along for the debtors to propose anything other than a conditional plan which would be premature and counterproductive.”

Newnan, Ga.-based Wade Park develops and operates property sites. The company filed bankruptcy on Aug. 26, 2020 under Chapter 11 case number 20-11192.

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