Judge Delays Ruling On Scuttling Deal To Sell Revel Casino
By Steve Tawa
CAMDEN, N.J., (CBS) – A call to kill the deal to sell the bankrupt Revel Atlantic City to a Florida-based businessman remains in limbo after yet another court hearing in Camden. While a judge is expected to rule on Thursday, the developer is once again negotiating with the hotel-casino to salvage the transaction.
Revel is asking a federal bankruptcy judge to allow it to consider other potential buyers for the assets, while pocketing Florida developer Glenn Straub's $10-million deposit.
"I know what it costs me for my little toys after 52 years, so we take those gambles all the time."
Straub's attorneys asked that the funds be held in escrow, rather than dispersed.
During the hearing, Revel's Chief Restructuring Officer testified that there had been "inquiries, but no serious discussions" with other potential buyers. Shaun Martin also told the judge liquidation of the assets remained a possibility, but Revel AC would prefer to close with a buyer.
Last week, Judge Gloria Burns stopped short of terminating the sale of the resort to Straub, but she dismissed his request to extend the deadline to close on a $95-million deal.
Immediately after oral arguments, Straub and Revel officials huddled in a conference room adjacent to the courtroom. Straub emerged to say both sides were only a few issues away from a new or revised agreement.
The potential sale was complicated after several court rulings elsewhere - in U.S. District Court and the Third Circuit Court of Appeals - were favorable to the former resort's tenants and creditors.
The Revel opened in 2012 with a $2.4 billion price tag, never turned a profit and closed last September.
