Plaza Mariachi files Chapter 11 bankruptcy protection
The filing comes after the center announced it was going to be sold at foreclosure sale.
NASHVILLE, Tenn. (WSMV) – Plaza Mariachi, a destination center for the Hispanic Family Foundation in Nashville, has filed for voluntary Chapter 11 bankruptcy.
This filing comes after the center announced it was going to be sold at a foreclosure sale last month. According to the foreclosure sale notice, First Financial Bank, which holds the loan used to purchase Plaza Mariachi, claims that the business is in default of payment of the loan. The bank has demanded the property be sold to pay the loan and foreclosure costs.
Plaza Mariachi insists it is not behind on its loan payments but needs additional time to restructure, refinance or otherwise address the loan. Filing for bankruptcy protection helps its cause, it said.
“We do not need additional funding to cover our expenses. The real estate appraisal that we have received on our property shows a value that is far greater than the debt that is owed on the property,” the center said. “Our restructuring plan involves selling the exterior shops surrounding Plaza Mariachi, giving the buyer a unique opportunity to invest in a landmark destination in one of the fastest growing cities in the United States.”
The Plaza Mariachi complex and events attract close to one million visitors a year, according to its staff.
“We look forward to the future of Plaza Mariachi continuing to serve as one of Nashville’s cultural landmark destinations,” the media release said. “We believe in community engagement, responsibility, and involvement, and we serve as a facilitator, introducing organizations, nonprofits, and institutions to the vibrant Hispanic Community. Plaza Mariachi is known as the destination center for the Hispanic Family Foundation (HFF) which provides much-needed community services for immigrants in Nashville. Services for the community involve children’s after-school programs, language classes, disaster relief, community baby showers, disability services, sexual assault and domestic violence assistance, and more.”
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