Holmes v. Citigroup Investments AgFinance (In re Holmes)
Docket: No. 02-52793 RFH
Court: United States Bankruptcy Court, M.D. Georgia; October 30, 2003; Us Bankruptcy; United States Bankruptcy Court
William K. Holmes, the Debtor, filed a First Amended Plan of Reorganization under Chapter 11 on July 28, 2003, which includes a plan to liquidate his primary asset, a 6,708-acre tract of land in Georgia known as the "Farm Property." The land, developed for quail hunting, comprises irrigated farmland, timberland, a lake, and various buildings. Citigroup Investments AgFinanee, as a secured creditor, objected to the plan, claiming the proposed marketing period of six to twelve months was unreasonable and advocating for a deadline of January 31, 2004, to sell the property.
The Court held hearings on the confirmation of the plan and considered expert testimony. Real estate appraiser James F. Lawton assessed the fair market value of the Farm Property at $12,240,000 as a single tract, compared to $9,180,000 if sold in smaller parcels. Other brokers supported the view that the property should be sold as a single tract and indicated potential buyers with financial resources.
The Court found that selling as a single tract is the best approach and agreed with the estimated marketing timeline. Despite Citigroup's objection, the Court ruled that the Debtor's secured claim is adequately protected and overruled the objection, allowing the plan to proceed as proposed. An order reflecting this decision will be entered.
