Pontiac Convention Center faces foreclosure
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The Pontiac Convention Center on the city’s northeast side is in foreclosure. Mansur Development owns the property at 2809 Pontiac Drive. Real estate agent Dave Mansur lists the nearly 19,000-square-foot building for sale at $1.6 million and says he believes a new owner could be in place by year’s end.
JANESVILLE — Facing a foreclosure suit, the owner of Pontiac Convention Center in Janesville has listed the property for sale.
A former owner, however, said Tuesday that he believes a sale is in the works and the new owner would honor all bookings.
Johnson Bank filed the foreclosure suit in August, saying that Mansur Development, the convention center's owner, did not meet a July deadline to pay off mortgage notes totaling nearly $2.1 million.
The two forbearance notes were drafted in March. The first required monthly payments leading to a balloon payment of the balance by July 1. The second required a payment of nearly $1.2 million, also on July 1.
In its suit, the bank said neither of the notes was satisfied and that on the due date the bank was owed more than $2.1 million in principal and interest.
In forbearance agreements between a mortgage lender and delinquent borrower, the lender typically agrees not to exercise its legal right to foreclose on a mortgage and the borrower agrees to a mortgage plan that will—over a certain time period—bring the borrower current on his or her payments.
The suit names Mansur Development, Pontiac Convention Center and KANDU Industries as defendants. KANDU leases space in the center to operate a portion of its Best Events Catering business.
Rod Oksuita, Best Events' food service director, said he's not surprised his company is named as a defendant in the suit because it's standard operating procedure for lenders to file against anyone with connections to a primary target.
Best Events, he said, has an agreement with Mansur Development to administer and run the center's events.
"We've, of course, been in touch with Mansur and the bank so that we can continue to honor our bookings," he said. "We're confident that we will be able to do that, and we look forward to a smooth transition that works for everyone well into the future."
In the filing, KANDU's attorney said the company has a lease for space at the center, has made significant investments at the facility and wants to continue to use the center through legal proceedings.
Jim Mansur of Mansur Development was unavailable for comment Tuesday.
His brother Dave Mansur is a former partner in the Pontiac Convention Center, 2809 Pontiac Drive.
"As of right now, we believe we have a buyer," Dave Mansur said. "I personally have no interest in the convention center, having sold my interest to Jim, although I do have the building listed for sale as a real estate agent."
On his website, Dave Mansur lists the nearly 19,000-square-foot building for sale for $1.6 million.
Dave Mansur declined to disclose details but said he believes there could be a buyer by the end of this year.
"My understanding is that the new buyer has the intention at the very least to honor everything that's on the books no matter how far out it is," he said.
According to the Rock County Treasurer's Office, the land and buildings are assessed at $1.33 million and have an estimated fair market value of $1.36 million.
Property taxes have not been paid for tax years 2010 and 2011, and the delinquency could be wiped out with a payment of $73,666 by the end of the month, according to the treasurer's office.
In it's foreclosure filing, Johnson Bank has asked for a sheriff's sale of the property with proceeds going to the bank. The bank's attorney declined comment Tuesday.
The Mansur brothers bought the property in 2006, shortly after the long-time former tenant, Skatin' Place, closed.
The Mansurs made significant investments in the property to make it available for meetings, weddings and other gatherings.
Sep 21, 2012 at 4:52 p.m.
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baeg...- seems he doesn't like to pay taxes on house either.
Sep 20, 2012 at 10:08 p.m.
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Have any of you who are commenting ever actually owned a small business or a commercial property in Janesville? I suspect not, but I'd like to know.
Sep 20, 2012 at 5:33 p.m.
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frogger: go http://www.zabasearch.com/ and plug in his name. That gets you address, phone number, DOB. Then go to http://www.co.rock.wi.us/treasurer-home and click on the tax database search
Sep 20, 2012 at 3:21 p.m.
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"frusion
Sep 20, 2012 at 8:54 a.m.
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Skatin' Place went upside down due to low patronage. Yes, tear out a couple of million dollars of building renovation and install a hardwood floor. Where do I send my donation toward that wise investment?"
The kept that floor :)
Sep 20, 2012 at 3:19 p.m.
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"Dave Mansur said. "I personally have no interest in the convention center, having sold my interest to Jim, although I do have the building listed for sale as a real estate agent"
lol- seems personal for your pocket book.
Did he ever sell his overprice mansion?
Sep 20, 2012 at 3:02 p.m.
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Just let the lawyers and banks take everything over....that's what rmoney says
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http://www.youtube.com/watch?v=FiFslD8QY...
Sep 20, 2012 at 2:59 p.m.
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prince....stop lying
Sep 20, 2012 at 1:58 p.m.
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The Mansurs didn't pay property taxes for two years? I wonder how much money they were giving to their church during that time. Or should I say, how much were we the taxpayers giving to their church? And now a decent non-profit organization is caught up in their irresponsibility, too. Not very Christian of them!
Sep 20, 2012 at 1:30 p.m.
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Keep in mind the fact that the site is in foreclosure does not mean that it stops being a convention center. There are leases in place and any new owner would need to honor that if a sale takes place prior to the auction, and in the interim it can remain in operation regardless.
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It's also quite likely that without the debt burdens of the current ownership, a new owner would be able to be profitable.
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doc0430, I'm not sure how to respond to someone who thinks it's simply a matter of "the inside equipment and ice" being moved. They're not exactly portable -- the cooling is built into the foundation.
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TroubleMaker, I've shown frequently the Wisconsin Taxpayers Alliance figures demonstrating that Janesville was always in the lower third rank of state municipalities as far as total tax burden. That was prior to Act 10, which resulted in the city having to increase its levy, but also a lot of others statewide, so how we rank now isn't clear. But Janesville taxes its citizens less than 170 other communities in the state, hardly "out of control".
Sep 20, 2012 at 1:18 p.m.
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Watching lawyers at the sheriff sale makes me sick. Vultures. There is one firm in town that is worse than others.
Sep 20, 2012 at 1:14 p.m.
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LABORPARTY - I would like to see the sources for your information on: "Johnson Bank just one member of Rock County 5.0 which is laundering......" I am not doubting what you have to say, but would like to read more from where this information came from. Thank you
Sep 20, 2012 at 11:04 a.m.
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trouble...that is part of being a "Responsible Business Owner".
Sep 20, 2012 at 10:54 a.m.
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trouble...so we should give business owners a free ticket and put the burden of expenses on the public? If that was the case, I'm sure GM would move back in town, knowing the public was going to pay the taxes and utilities. I bet they would even air condition the plant knowing the people would pay for it.
Sep 20, 2012 at 10:31 a.m.
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I'm betting that if the property taxes, personal property taxes, energy costs, and water bills weren't SO out of control, the place would continue to cash flow just fine.
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I blame our City and County governments for not keeping their charges on par with other economic realities. They are driving businesses into bankruptcy.
Sep 20, 2012 at 10:11 a.m.
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There were many people spending money they didn't have, for a chance to make money. That idea was working somewhat in good times but soon they found out they were over extended.
Sep 20, 2012 at 9:41 a.m.
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people would patronage the skating place for a while, but eventually just like before people would stop going. The ongoing costs of taxes, utilities and insurance would close the skating rink faster than people can come in.
For all you that want the skating place back, go and bid YOUR OWN MONEY at the auction and run it yourself. You will see why it won't work.
It's far easier to tell others how to spend money, than putting up your own and being involved. Love how many "arm-chair quarterbacks" we have here in this community.
Sep 20, 2012 at 8:54 a.m.
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Skatin' Place went upside down due to low patronage. Yes, tear out a couple of million dollars of building renovation and install a hardwood floor. Where do I send my donation toward that wise investment?
Sep 20, 2012 at 8:35 a.m.
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Bring back Skatin' Place! :-)
Sep 20, 2012 at 6:54 a.m.
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I second that... turn it back into the Skatin Place.... maybe help the obesity epidemic. Maybe there is a govt grant that can pay for it?
Sep 19, 2012 at 11:22 p.m.
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Bring back Skatin Place..it was a great place to go!!!
Sep 19, 2012 at 8:22 p.m.
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The Ice Arena opens up this friday. Everything is ready to go.
Sep 19, 2012 at 7:57 p.m.
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It's too bad that this is happening, but I believe it's just another sign of our poor economic situation that Janesville seems to be stuck in. How far along are we with the upgrades to the ice arena? Is it too late to possibly look at this building for that purpose, and then make the current location of the Ice Arena the newest Fire Dept. like what was talked about two years ago when the city was searching for a new location for that? The improvements that have already been made to the ice arenas exterior would've been needed to be done regardless and if the inside equipment and new ice could be moved, this could end up saving the taxpayers some money if the city pays for the current work that has been done to the ice arena. Does anyone know where we are with it??
Sep 19, 2012 at 6:47 p.m.
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This would be a terrible tragedy for Janesville.
It is a wonderful CLEAN WELL KEPT place to have many many types of gatherings.
I hope something is worked out.
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