A bankruptcy judge has terminated a $95m purchase agreement between the Revel Casino Hotel and developer Glenn Straub.
Straub intended to buy the casino, but the judge ruled that he had violated the terms of the agreement when he failed to meet a February 9 deadline to close the sale.
The deal had been on the verge of collapse for some time after several court rulings proved favourable to the resort’s former tenants and other creditors, including the operator of its nightclub and its custom-built power plant.
Revel will now be allowed to begin discussions with other potential buyers and will retain Straub’s $10m deposit.
An earlier $110m deal to sell Revel to a Canadian private-equity firm also fell through late last year over payments to the power-plant operator.
