Renaissance Bay, a partially completed luxury condominium development at Keystone Avenue and 78th Street in Indianapolis, has been placed into receivership after developers failed to make payments on its loan.
Marion Superior Court Judge Timothy Oakes on Dec. 22 appointed Indianapolis-based Barrett & Stokely Inc. as the receiver of the 55-acre development, which was started three years ago by Sun Shiel Properties LLC.
Fort Wayne-based Star Financial Bank seeks $23 million loaned for the project, plus interest and attorney fees. In court records, Star said the developer has failed to make interest payments on one note since April.
Renaissance Bay was to be a $150 million development with more than 300 condominium units ranging in price from $350,000 to $800,000. The property borders a 25-acre lake that connects to the White River.
Several buildings featuring South Carolina-themed architecture have been completed on the north end of the property. The southern end remains undeveloped except for streets and utilities.
A sign for the development along Keystone Avenue said prices of the units have been reduced.
Sun Shiel is a joint venture of Sunstone Properties and Shiel Sexton Co., one of the city's largest construction contractors.
Shiel Sexton had a construction role in the development but not an equity interest, said Richard "Buddy" Hennessey, executive vice president at Shiel Sexton.
Hennessey said the project drew ample interest from "empty-nest" buyers wanting to downsize but who ultimately could not sell their existing homes during the economic downturn. "It's as simple as that," he said.
Under current economic conditions, the development could be repurposed as apartments, he added. Renaissance Bay is on the former site of The Landings apartments, which were demolished.
Barrett & Stokely, the newly appointed receiver, has managed over 130 properties in Indiana, Ohio, Kentucky, Illinois and Missouri. Locally, they include Riley Towers Apartments and Canal Square Apartments.
Officials of Barrett & Stokely could not be reached for comment.