Thompson Hotel goes up for online auction

WORTHINGTON - Despite attempts by several prospective buyers, the Thompson Hotel is now up for auction, a listing that can be found on the Grafe Auction website.

Worthington Assistant City Administrator Jason Brisson said the auction is currently online through September 12. As far as he can tell, the intent is that by end of business on that date, the building will be sold to the highest bidder.

Because there are assessments from the city that were court ordered, the sale needs to be approved by the courts, and can be contested by the city. It will be up to the judge to allocate the funds to the lien holders.

The current proposed city assessment from unpaid costs for repair and hazard removal is just over $183,000.

Brisson said  the city will have to wait until the auction closes to decide if they want to block the sale. Until then, all they can do is wait and see what happens. The city council did adopt resolutions to declare the assessed costs and call for a hearing on the assessments, just as they would do for any unpaid service or fees to the city.

According to the Nobles County property tax statement, the estimated market value of the hotel and its land is just over $917,000. The assessor's office shows that more than $30,000 is owed in back taxes for 2017 and 2018, and that does not include the 2019 taxes of almost $19,000 that is still owed.

Wells Fargo and management company Lighthouse Management have liens against the property as well.

Brisson said the situation with the Thompson is not a common occurrence, so much of how the funds from the auction are dispersed to the lien holders is an unknown. Once a court date is set after the auction closes, all interested parties can attend, he added.

The auction listing claims commercial rent rolls show 100 percent occupancy for the last six months. At Wednesday's special city council meeting, one of the councilors reported the restaurant has moved off the property, and the building's boiler has been deemed unsafe.

The auction listing can be viewed here.

Leave Us a Comment!

Be the first to comment on this post!

Leave Us a Comment!

Captcha Image