I don't know yet if this week brings to a close the odds and ends of Bob Bisno's involvement with Ponte Vista at San Pedro. However, I feel the odds part will remain in place no matter where Mr. Bisno attempts to develop larger residential sites.
I think it will be revealing to learn about his recent assets and liabilities that he took into Chapter 11.
Below is a simple explanation of Chapter 11 Law Group and it came from the Moran Law Group:
"Chapter 11 bankruptcy is a form of bankruptcy reorganization available to individuals, corporations and partnerships. It has no limits on the amount of debt, as Chapter 13 does. It is the usual choice for large businesses seeking to restructure their debt.
A creditors committee is usually appointed by the U.S. Trustee from among the 20 largest, unsecured creditors who are not insiders. The committee represents all of the creditors in providing oversight for the debtor's operations and a body with whom the debtor can negotiate an acceptable plan of reorganization. The debtor usually remains in possession of its assets, and operates the business under the supervision of the court and for the benefit of creditors. The debtor in possession is a fiduciary for the creditors. If the debtor's management is ineffective or less than honest, a trustee may be appointed.
A Chapter 11 plan is confirmed only upon the affirmative votes of the creditors, who are divided by the plan into classes based on the characteristics of their claims, and whose votes are a function of the amount of their claim against the debtor.
If the debtor can't get the votes to confirm a plan, the debtor can attempt to "cram down" a plan on creditors and get the plan confirmed despite creditor opposition, by meeting certain statutory tests.
Chapter 11 is probably the most flexible of all the chapters, and as such, it is the hardest to generalize about. Its flexibility makes it generally more expensive to the debtor. The rate of successful Chapter 11 reorganizations is depressingly low, sometimes estimated at 10% or less."
Reaction to the news about Bob's filing was much lower than I had thought it would be.
The most animated response came from someone I never thought would be all that concerned about Ponte Vista as we have never really spoken about that subject at any length. Go figure.
I've heard or read nothing from the Outreach Team about the news and how it probably has no impact, in their opinion, on current plans.
It may take until Sunday until we read a letter to the editor in the Daily Breeze if anyone is really interested in writing a letter in the first place.
I don't intend on writing a letter to the editor concerning Bob at this point. That all may change if it comes out in filings that Bob has remained with some interest in the Project beyond last December when the new development team claimed Bob was out of the picture.
Fall will fall into place around September 20 or 21 and I hope the Outreach Team brings out to the public the newest plans for Ponte Vista.
It has been many months since we got a glimpse (in writing) dealing with plans for 1,395 units at Ponte Vista.
But I am getting 'vibes' that the newest plan will have a lower number of total units in the package.
All the time between last December and now need not be considered wasted though. I still can't see any developer pushing plans hard to get construction underway in this economy.
Whatever the newest form of an application to change the current zoning on the site are, it appears that there will be a 45-day circulation period for the new EIR before it goes back to the Planning Department, for what I hope is a lengthy, accurate, and complete review.