A Los Angeles developer expressed interest in buying Revel Casino Hotel in Atlantic City after a U.S. Bankrutpcy judge on Feb. 19 allowed Revel to terminate the planned $95.4 million sale to Glenn Straub, according to a bankruptcy-court filing by lawyers for a group of Revel's restaurant and retail tenants.
Revel last week revived its deal with Straub, a Florida developer, but at the singificantly lower price of $82 million. A hearing to approve the new deal with Straub is scheduled for Wednesday in Camden.
The Los Angeles developer, Izek Shomof, submitted a letter of intent to buy the $2.4 billion property for an undisclosed price, but was told by Revel officials he would not receive the documents needed to conduct due diligence until Shomof made a formal offer and provided proof of payment, the filing said.
Shomof, who could not be reached for comment, has since taken both of those steps, the filing said.
Revel's lead bankruptcy attorney said he had no comment.
The restaurant and retail tenants have been at odds with Straub, who wants them out of the building when he buys it.
They are pursuing a U.S. District Court appeal to preserve their right to continue operating in the building, if it reopens, for the duration of their unexpired leases.