This center went into foreclosure despite the owner’s extensive industry management experience as a result of his medical problems coupled with inadequate insurance coverage for hurricane damage. The bank completed their foreclosure and retained an experienced management company to operate the business as a subsidiary of the bank while listing it for sale with a broker who specialized in bowling centers. Since the management company had been involved prior to the foreclosure date, the center opened the first day of bank ownership with no loss of income. Over the nine months that the bank owned the center it generated a substantial positive cash flow, which helped to recover value. The final sale price was close to returning the bank their principal and accrued interest. Other collateral was also involved, which allowed the bank a complete recovery.
40 lane center, Texas
