The Official New England Ice Hockey DBoard
Click Here to Visit Our Facebook Page
ATTLEBORO — Court documents paint a picture of deep debt for the financially troubled New England Sports Village
Documents filed at U.S. District Court in New York and in U.S. Bankruptcy Court in Boston show that NESV owes about $20 million to secured and unsecured creditors.
Most of that, about $18 million, is owed to a secured creditor, SHS ACK, LLC, the company that bought the mortgage on the property from HarborOne Bank in December.
That sum represents a $9.5 million construction loan, a nearly $2 million “term” loan and “unpaid principal, interest, late charges and reasonable collections costs.”
The manager listed for SHS in its annual report was Jeffrey A. Leerlink of Brookline, who in turn is the CEO of SVB Leerlink, an investment bank specializing in the healthcare and life science industries.
The manager was later changed to ACK SHS, LLC out of Wilmington, Del.
SHS was formed to “own, manage and develop real estate,” according to documents filed in the Secretary of State’s office.
The $18 million figure comes from a lawsuit filed by SHS against Stuart Silberberg, managing partner of Ajax 5Cap NESV, LLC on July 23, 2021, in U.S. District Court in New York.
Ajax is the holding company for NESV.
Meanwhile, another $2.1 million is owed by NESV to various unsecured creditors listed in its Chapter 11 bankruptcy filling at U.S. Bankruptcy Court in Boston submitted last Thursday.
Seven debtors were listed on the filing, but only one, NESV Ice, LLC, is up and running.
The other six are companies which own plots of land put aside for other sports such as tennis, swimming and soccer.
Another lot has been set aside for the development of a hotel.
Among the creditors listed on the bankruptcy filing is the Ashcroft Sullivan Law firm in Boston to which NESV owes over $1.5 million.
That amount is disputed, however, according to court papers.
NESV owes National Grid $316,345 and the City of Attleboro $262,289.
According the city’s tax collector, the figure as of last Friday was $570,698.
W.B. Mason, an office supply company based in Brockton, is owed $8,785, and Columbia Gas is owed $7,229.
JBH Advisory, a hospitality consultant group, and Likaar Maintenance Systems, a janitorial and cleaning services company based in Foxboro, are owed $5,000 and $2,919, respectively.
NESV is in debt to Richmonds & Co. Inc., a law firm in Wellesley, for $2,374.
It owes PKF O’Connor Davies, a Providence accounting firm, $700, and Sturdy Memorial Hospital in Attleboro $469.
In a recent interview, Silberberg said business at the rink has improved greatly under the leadership of Rob Reilly, executive director, who has brought in more teams and events.
“The rink is functioning pretty well,” Silberberg said. “It’s not where we want it to be, but it’s significantly better than where it was.”
He said the company just needs time to get back on track and start paying down the debt.
SHS has scheduled at least four foreclosure sales for the property, but the latest, slated for last Friday, was cancelled when the bankruptcy case was filed.
Meanwhile, SHS challenged NESV’s ability to revive its business in a statement of opposition to the bankruptcy proceedings.
“Debtor and manager Stuart Silberberg (‘Silberberg’) make fantastical projections regarding the value of the Debtors’ real property and NESV Ice’s projected income, they have provided the Court, creditors and parties in interest with absolutely no facts or support for this wishful thinking,” the company said in its own filing to the court.
I feel bad for CJ and the Hitmen they trusted RR and his ego really thought he was going to take down North and Giants. Looks like the Hitmen will be homeless next season.
so a distressed debt fund bought up some bad debt. Hate to break it to you, but this happens every day. Pretty common for a hockey rink to fail too. Seems pretty personal for the constant attacks against this guy. Don't know him, don't care to, but the courts will decide what happens