The troubled Margaritaville Resort Times Square has filed for Chapter 11 bankruptcy protection to prevent a foreclosure auction that had been scheduled for today.
Soho Properties' executive vice president, Sethian Pomerantz, filed the petition Sunday in federal bankruptcy court for the Southern District of New York. Soho, the resort's owner, had filed a lawsuit in Manhattan Supreme Court on June 28 to prevent the foreclosure auction, but a judge ruled against it in that case, leading to the bankruptcy filing, according to court documents.