Concord Wilshire Capital is first in line to buy a distressed development site in Royal Palm Beach that’s approved for a mixed-use project but saddled with a $47.4 million foreclosure judgment.
Two entities managed by developer Brian Tuttle are seeking bankruptcy court approval for a reorganization plan that entails two possible tracks to pay off the foreclosure.
In one scenario, Miami-based Concord, led by Nate Sirang, would buy the 38-acre property for $60 million, a Jan. 23 motion shows.
If Concord’s purchase fails, Tuttle’s two entities would be consolidated and acquired by Coral Gables-based The Ardent Companies, which would then pay the mortgage debt, according to the reorganization plan.
An affiliate of Fort Lauderdale-based Fuse Group won a final judgment against the Tuttle entities in a 2024 foreclosure lawsuit alleging the developer defaulted on three loans totaling $38.4 million.
The site within the 200-acre Tuttle Royale master planned community, on the southwest corner of U.S. 441 and Southern Boulevard, was set to be sold at a foreclosure auction on Sept. 24. But the day before the auction, the Tuttle entities filed chapter 11 petitions in Miami bankruptcy court.
Since then, the amount owed to Fort Lauderdale-based Fuse, led by Eyal Peretz, has ballooned to $60.1 million including accrued interest and fees, bankruptcy filings show.
Tuttle has not started construction on the project, known as The Mainstreet at Tuttle. The development was planned with 401 apartments, a 125-key hotel, 400,000 square feet of retail, 82,900 square feet of offices and 3,435 parking spaces. The property is among 13 South Florida development sites that have fallen into distress since 2024.
Representatives for the Tuttle entities, Fuse Group, Concord and Ardent did not respond to requests for comment.
Fuse initially sought to dismiss the bankruptcy petitions by alleging in a motion that Tuttle filed for chapter 11 to stall the auction. In November, Fuse, Tuttle and Ardent representatives attended a settlement conference in which they hashed out the terms of the reorganization plan.
If the sale to Concord goes through, $1.8 million would pay unsecured creditors, $471,000 would pay delinquent property taxes, and an undetermined amount would pay attorney fees for the Tuttle entities, the Jan. 23 motion states. The balance would pay off Fuse.
If the deal falls through, Ardent would pay Fuse $50 million after acquiring the unified Tuttle entity. Tuttle would also remain as a personal guarantor to the Fuse loans. The largest unsecured creditors include another lender that is owed $7.8 million and BC Architects, which is owed $1.5 million in fees, bankruptcy court filings show.
U.S. Bankruptcy Court Judge Erik Kimball is set to rule on the reorganization plan on Friday.
