Advertisement

Venice Inn auction postponed

December 16, 1999|By DAN KULIN /Staff Writer

Thursday's scheduled auction of a 99-year lease on the Venice Inn in Hagerstown was postponed for undisclosed reasons.

Louis Goldberg, project manager with Baltimore-based Michael Fox International, the firm handling the Venice auction, said Thursday the auction will be rescheduled for early next year. He declined to comment on why the auction was postponed.

Edward Button, a Hagerstown attorney assigned by the courts to oversee the property, said he didn't know why the auction was postponed. Button said the pending auction will not affect day-to-day business operations at the Venice.

The pending auction is the result of a foreclosure on a loan that listed the lease on the hotel, motel and restaurant complex at 431 Dual Highway as collateral, according to court records.

Advertisement

According to a public announcement of Thursday's canceled auction, the lease was created in April 1998 and has an initial seven-year term with the option to extend the lease 13 times for additional periods of seven years each. The rent due under the terms of the lease is $300,000 per year for the first five years, and increasing by 10 percent every five years.

The leased property includes the five-story hotel, two-story restaurant, banquet and liquor store building, two- and three-story motel, swimming pool, one-story warehouse, one-story fast-food restaurant building and parking lot.

The Venice Inn was last offered for auction on Sept. 15, but no acceptable bids were submitted and Cleveland-based Metropolitan Bank and Trust Co., which foreclosed on the lease, entered the high bid.

The Herald-Mail Articles
|
|
|