Louisville developers Frank A. and Teresa Bridgewaters owe more than $1.7 million on their property at 1800 W. Broadway, according to a lawsuit.
Greensburg, Ind.-based MainSource Bank has filed a complaint in Jefferson County Circuit Court asking the court to foreclose upon and sell the 17.7-acre property in an effort to recoup some of the money owed.
Walmart was slated to build a more than $30 million store on the site but called off the project following a legal challenge.
The complaint (see below) states that the Bridgewaters owe the unpaid principal of the loan as well as interest, unpaid ad valorum property taxes and various fees.
According to the court documents, the couple secured the loan for their company NewBridge Development in fall 2015. It seems as though the loan from MainSource Bank was taken out to repay a loan from Gus Goldsmith, who’s known for offering high-interest loans to people who can’t qualify for a traditional bank loan.
The Bridgewaters did not return a call for comment.
Court documents filed by MainSource Bank’s attorney include two letters sent to the Bridgewaters. The first was sent on Dec. 1 notifying them that they would default on the loan if they didn’t make a payment in the subsequent 30 days. The second, dated Jan. 9, informed the Bridgewaters that they had defaulted on the loan.
MainSource Bank declined to comment on the lawsuit, and the bank’s attorney, Melinda Sutherland, of Morgan & Pottinger, did not return a call for comment.
The complaint notes that Louisville-Jefferson County Metro Government may claim an interest in part of the property because the city executed a $357,000 mortgage agreement with the Bridgewaters’ NewBridge Development LLC in October 2014.
“As the legal representative for Louisville Metro Government, Jefferson County Attorney Mike O’Connell and his assistants will respond to the complaint brought by Mainsource Bank,” Josh Abner, spokesman for the Jefferson County Attorney’s Office. “Louisville Metro is a required party to the foreclosure due to our mortgage interest. As this matter is pending, we will not comment further but will file our pleading in response and look forward to exploring potential resolution, if possible.”
Below is the complaint MainSource Bank filed: