A luxury community developer is set to win a solo bid to buy 4.5 acres of undeveloped commercial land in Frisco.
Washington, D.C.-based Petra Development reportedly placed a $9 million dollar bid to purchase 4.5 acres of land in Frisco that was seized from developer Tim Barton and held in court-ordered receivership, according to reporting by the Dallas Business Journal (DBJ).
A U.S. District Judge seized all of Barton’s assets and properties due to criminal and civil charges that allege Barton defrauded $26 million from 100 individual Chinese investors who had paid Barton for land that he never actually purchased or delivered on, per the DBJ.
Expected to be approved by U.S. District Judge Brantley Starr, the $9 million bid includes nearly 5 acres of undeveloped land within a mixed-use development called The Gate, the DBJ reported.
The Gate is a partially built “master-planned development” located near the Northwest corner of the North Dallas Tollway and John Hickman Parkway in Frisco.
As reported by The Dallas Express, the city of Frisco is blossoming with a Universal theme park on the way, while development in Dallas is hindered by obstacles like its difficult permitting process.
The aforementioned 5 acres of land in Frisco were previously owned by Barton and his Dallas-based company JMJ Development.
An agreement was reached between Barton and Cort Davis, the court-appointed attorney for the receivership, to sell the 4.5 acres of land to cover the expenses of the receivership, according to the DBJ.
Barton hopes the court will approve the sale, the DBJ reported, as it will prevent other properties being held by the receivership from having to be sold, and Barton still hopes to regain control of the seized assets.
“There is no personal animus against Mr. Barton at all. The Receivership Estate is in dire need of capital,” said Davis in a status report filed with the court, as reported by the DBJ.
The sale of the property is expected to bring in $3 million in net proceeds after paying off secured lenders with liens on the property.
Barton reportedly pleaded not guilty to a total of nine felony charges. If convicted, he faces up to 60 years in prison.
The criminal trial is expected to begin sometime in 2023.
