Theater To Be Auctioned Off: Foreclosure Auction

February 8th, 2008

Only a year after its opening IMAX movie theater was shut down after its owner filed for bankruptcy. Today its fate is foreclosure auction. Metro Cinema and Indigo Grille suddenly were closed down in January under tragic circumstances – filing of bankruptcy (chapter 11) within a year of its opening by its holding company MC Colleyville Realty. In August 2006 this theater cum eatery where people could eat and watch movies at the same time had been opened with much fanfare in the Town Center of Colleyville. The city officials have been unable to contact the president of the firm Bill Baldridge and are in the dark about its happenings. The people want it to open comments Scott Welmaker the director of Colleyville Economic Development.

Apparently it seemed that the unit was prospering. Attorney Chris Moser says that bankruptcy cases are complicated and involves many issues. The Tuesday foreclosure sale at Tarrant County Court House included the building together with the land defaulted by owners Melvin & Martindale. This is one of the worst situations wherein the buyer gets a defaulted ground lease.

According to records MC Colleyville Realty owed about $8 million (including $5.4 million due to American National Bank of Texas). Mr. Baldridge was not available for comments and telephone calls remained unanswered. The situation seemed ideal for foreclosure to set in.

Metro cinema provided for 6 movie screens including the latest IMAX screen. The eatery having a martini bar served the best meals. In northeast Tarrant County there is a surfeit of movie theatres but Metro Cinema had carved a niche for itself because of the IMAX screen and the dining cum viewing facility. The city had come to an agreement with Metro Cinema worth $165,000 for giving educational programmes for students and hosting cultural shows. Metro Cinema neither collected the money nor hosted any of the shows, as results foreclosure.

Foreclosures have been infecting all and sundry and not just the modest income group. Some dig back the causes to the 9/11 shock that accelerated the fall of stocks. The rate of interest remained too low for too long giving sub-prime mortgage players a free hand. Money was going a begging and it was quickly snapped up not only for residential purposes but also for investment and speculation. But when the housing bubble burst the economy was already in the doldrums. This general malaise affects business of all shades – including entertainment.