The former Haystack ski area is moving from Chapter 11 to Chapter 7 bankruptcy.
Monday, July 29, 2019, NewEnglandSkiIndustry.com
A judge has approved the conversion of the Hermitage Club bankruptcy from Chapter 11 to Chapter 7, according the the Brattleboro Reformer.
Under Chapter 11 bankruptcy, an entity may have the opportunity to reorganize and emerge as a going concern, as compared to Chapter 7 liquidation.
Berkshire Bank filed a foreclosure complaint in February 2018, with some $16.5 million owed by the company for its lavish new base lodge. The filing paved the way to the appointment of receiver Alan Tantleff. The bank is hoping to auction off the assets this summer.
Located in the Deerfield Valley near Mount Snow, the Hermitage Club features the Haystack ski area, a golf course, and numerous inns and restaurants. Hermitage founder Jim Barnes acquired the defunct Haystack ski area in October 2011 and soon installed two new SkyTrac fixed grip quad chairlifts. An 80,000 square foot lodge was constructed for 2014-15 and a $7.3 million Doppelmayr heated, high speed detachable six person chairlift for 2015-16. In addition, the ski area also has a CTEC triple and a Poma triple.
