LIBERTYVILLE, Ill. - A Colorado investment firm is pursuing a $6.4 million foreclosure lawsuit against the owners of Lake Shore Harley-Davidson.
The dealership, just outside of Chicago, has been operating since 1967 and moved to its present 80,000 sq. ft. showroom and service center in 2002. The property is owned by a trust with ties to dealer principal Russell Snider, according to the complaint filed by Summit Investment Management LLC in Lake County Circuit Court.
Denver-based Summit filed a separate lawsuit May 7 against three ventures managed by Snider and partner Frank Blazevich, alleging they owe $8.9 million on loans made in 2008 and 2010. That includes the $6.4 million sought in the foreclosure suit filed Oct. 10.
Blazevich and Snider did not return calls to Chicago Real Estate Daily which posted the original story.
In May 2012, after missing monthly payments, Blazevich and Snider negotiated a loan modification with First Midwest Bank, giving them a year to repay the loans, according to allegations from Summit in its first complaint, also filed in Lake County Circuit Court. Summit acquired the loans from Itasca, Ill.-based First Midwest in October 2012.
Blazevich and Snider missed payments again in February 2013 and failed to pay off the debt when it matured May 1, according to Summit.
Snider is named as a defendant in the first suit because he allegedly personally guaranteed the loans. Although Blazevich also guaranteed repayment of the debt, he is not named as a defendant because he filed for Chapter 7 bankruptcy protection last year, according to Chicago Real Estate Daily. The real estate is held in a trust whose beneficiary is a venture managed by the two partners.
Posted by Holly Wagner