Company behind luxury lofts goes bankrupt

A company behind a townhouse development in San Antonio’s Tobin Hill neighborhood has sought bankruptcy protection.

Legacy Lofts on St. Mary’s LLC filed a bare-bones bankruptcy petition Monday, listing assets of no more than $50,000 and liabilities ranging from $1 million to $10 million.

Legacy Lofts is a luxury 19unit complex at the southwest corner of St. Mary’s Street and Euclid Avenue, a block from Interstate 35 and a 10-minute walk from the Pearl entertainment area.

The Chapter 11 filing occurred ahead of Tuesday’s scheduled foreclosure sale of what appears to be a portion of the Legacy Lofts property. The bankruptcy put a hold on the sale.

BRMK Lending LLC, a specialty real estate finance company, had moved to foreclose after making a nearly $7.6 million loan to Legacy Lofts in 2018.

Property records shows Legacy Lofts sold only three of the 19 units to individual buyers before completing two bulk sales to Mission-based Esaad LLC — including just days before the foreclosure notice was recorded.

Esaad closed on eight units Oct. 27 and another eight on Nov. 11, though the purchase prices weren’t disclosed. The foreclosure notice was filed Nov. 15.

On Nov. 18, BRMK Lending executed a partial release of a lien against the Legal Lofts property.

Just how much BRMK is still owed wasn’t disclosed in the bankruptcy filing.

Limitless Creations Inc. is listed as Legacy Lofts’ manager. Robert Melvin, CEO for both companies, originally envisioned Legacy Lofts as a 27-unit condo development in a mixture of four- and eight-story buildings that would have a “New York kind of warehouse district feel.”

The development later switched from condos to townhouses and the number of units was reduced.

Melvin declined to comment, directing questions to his bankruptcy lawyer. Attorney Allen Debard didn’t respond to a request for comment.

Various real estate websites show at least four of the units have been posted for resale by Esaad with an asking price of $536,250 each. A call to an Esaad representative was not returned.

One of the individual owners who purchased a unit in May has put it up for sale with an asking price of almost $610,000.