Saw this article in the local paper today. This is the campground just east of Leavenworth Washington on the north side of S.R. 2.
Here's the link;
http://www.wenatcheeworld.com/news/2015/mar/21/leavenworth-campground-falls-into-27-million-foreclosure/
And here's some of the text;
LEAVENWORTH โ The owners of Leavenworthโs Pine Village KOA campground are in the midst of a $2.7 million foreclosure by their lending bank over claims of unpaid loans, taxes and fees.
Bellevue-based Foundation Bank won a Chelan County Superior Court order Friday putting the the 27-acre Pine Village into receivership, in preparation for a foreclosure sale. The bank says Witt Campground Inc., the family-run company that owns the campground, has not made payment on two construction loans since December, nor paid state taxes due at the end of 2014.
A declaration filed along with the suit says Witt Campground has also failed to pay royalties to Kampgrounds of America for its membership in the KOA network, even as its CEO, Caroline A. Witt of Leavenworth, continued to take $10,000 per month in salary.
Foundation Bankโs suit, filed March 11, asks for the campground to be sold with proceeds going to pay off the loan debt and penalties. The property was put up for sale within the last few months.
The riverside campground, located on River Bend Drive just northeast of Leavenworth, hosts RV, cabin and tent camping, with a pool, hot tub, snack bar and other amenities. Dan Reina manages the campground through his firm, Reina Consulting of Snohomish.
In a court declaration, Reina wrote that he was hired in 2012 and managed the campground for two years. Caroline Witt and her son David Witt took over day-to-day operations until January 2015, when they rehired Reinaโs firm.
Once back in control, Reina learned the Witt firm owed roughly $29,000 to the Department of Revenue in back taxes, penalties and interest, plus more than $17,000 to the Department of Labor and Industries, according to his court declaration. The business also owed $30,000 in past-due royalties to KOA.
At the time of the lawsuitโs filing, Reina wrote, Witt Campground had less than $5,000 in its accounts.
The site opened for camping in 1967. Caroline Witt, 70, is the widow of Gene T. Witt, who bought the land and operation in 1981. Itโs been held by his heirs in the Witt Campground firm since his death in 2008.
The company applied in November 2012 to have its campground land annexed into Leavenworth โ a move opposed by neighbors in the 38 residential lots along River Bend, who feared increased traffic and possible future expansion. The city held hearings on the request last year, but City Administrator Joel Walinski said Friday thereโs been no action taken.
The zoning sought by Witt Campground would have allowed the development of condominiums, apartments, eating and drinking establishments, theaters and grocery stores, subject to city permits. But the campground owners would also have had to install water and sewer hookups, fire hydrants, and a new secondary road, since River Bend Drive currently dead-ends at the campground.
Witt Campground took out the first of its two loans in November 2012, for $250,000. It followed up with another $2.6 million loan in July 2013, putting up the campground property as collateral, according to court records.
Attorneys for the owners couldnโt be reached for comment Friday. The campground remains in operation, taking reservations through KOA.
Judge T.W.โChipโ Small appointed Mel R. Codd of Seattle as receiver. Reinaโs attorney, Allan Galbraith of Wenatchee, said Friday Reinaโs firm would likely stay on as manager while the campground is in receivership. Any sale is subject to court approval.
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