Airport officials sue Chicago company for backing out of deal - WDRB 41 Louisville News

Airport officials sue Chicago company for backing out of land deal

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Airport business park area (Louisville Regional Airport Authority) Airport business park area (Louisville Regional Airport Authority)

LOUISVILLE, Ky. (WDRB) - A Chicago real estate company that had planned to build two big warehouses in a business park just south of Louisville International Airport has backed out of the deal, according to a lawsuit filed last week in Jefferson Circuit Court.

The Louisville Renaissance Zone Corp. – an affiliate of the Louisville Regional Airport Authority – claims in the March 5 suit that Verus Partners LLC did not uphold its end of a purchase agreement signed July 29, 2013.

The Zone Corp. was formed to oversee the development of a business park on formerly residential land south of the airport. It had planned to sell  84 acres in the park to Verus for about $10.4 million, according to an April 25, 2013 Business First story.

Verus planned "two large speculative warehouses" on the land, according to the story. The business park is in the southwest corner of Interstate 65 and Outer Loop.

The agreement called for the Zone Corp. to build two roads and install water, sewer, gas and electric utilities – but late last year Verus failed to hand over an "irrevocable letter of credit" payable to the Zone Corp. for the estimated cost of those improvements, according to the suit.

After terminating the deal, the Zone Corp. now seeks a court order to access Verus' earnest money deposit as damages.

Neither the agreed price of the land nor the amount of Verus money on deposit is specified in the complaint.

Trish Burke, spokeswoman for the airport authority, had no immediate comment Wednesday. Thomas Theobald, Verus' senior vice president, based in Indianapolis, did not return a call for comment.

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