The 10-day extension, ordered earlier this week, comes a month after one attorney grilled the property marketer and raised serious doubts over whether there was much interest in the massive property perched atop Traverse Ridge, which spans 3,600 acres and spills into Utah County.
The move gives the developer and Draper City another 10 days to sort through some details while allowing would-be buyers more time to express interest in the scenic development.
U.S. Bankruptcy Judge William Thurman wrote that the extension is intended to solicit potential bidders and maximize the value of the assets. The move will cost creditors WLI and Zions Bank - which pay to keep the lights on at SunCrest's sales center and other developer-run property - $33,000 and $100,000, respectively.
This is the second time Thurman has delayed the sale. In April, he pushed it back two weeks in hopes of attracting more buyers. That delay cost Zions and WLI $135,000.
SunCrest's Dallas-based bankruptcy attorney, Bill Wallander, said "a number" of potential purchasers have expressed "real interest" in the property. But he would not say how many or whether any parties intend to bid by the new June 19 deadline.
Property marketer Gary Nelson, of Highland Commercial Inc., did not respond to requests seeking those figures.
At a May 7 bankruptcy hearing, attorney David Leta, who represents several creditors, grilled Nelson for real figures. The marketing magnate responded, saying his Web site had seen 64 clicks on the SunCrest marketing materials in a four-week period. Another site had seen 58 visitors look at the property.
"Billions and billions of people can have access to this site, and you had 64 clicks," Leta replied.
Nelson added that 18 parties had signed confidentiality agreements - a necessary step to delve into a 60-page executive summary and sort through several boxes of information detailing issues facing the site. Four parties had visited the data room to sift through those boxes.
Wallander said Draper has expressed its intent to welcome prospective purchasers and work with them to make the project a success.
