Foreclosure allowed for Glenview's Central Plaza

Central Plaza, a 100,000 square-foot commercial real estate development in Glenview, won't be reorganized.

At a hearing this week, the bankruptcy judge allowed foreclosure of the $11.2 million first mortgage and a $5.5 million mezzanine loan.

The owner, Central Park Development LLC, filed for Chapter 11 reorganization in mid-December. Fifth Third Bank holds the first mortgage while Catfish Glenview LLC has the second lien.

Catfish said the property was worth $13.6 million, not enough to cover both mortgages.

The case is In re Central Park Development LLC, 09-47062, U.S. Bankruptcy Court, Northern District of Illinois (Chicago).