Pheasant Run Resort Auction Closes With $6M Bid

ST. CHARLES, IL — The final bid during an online auction this past week for the Pheasant Run Resort in St. Charles was $6 million, according to media reports. Ten-X Commercial held the online auction, which began Monday and ran through Wednesday afternoon, for the 293-room resort, which is located on an 18.3-acre property at 4051 E. Main Street in St. Charles.

The online auction, which listed a starting bid for the once-thriving St. Charles resort at $2 million, has since been taken down. The Daily Herald reports the winning bidder has not been released and a representative from Colliers International, which is the real estate company that's been marketing the site, has declined to comment.

The Pheasant Run listing has since been removed from the Ten-X Commercial website. Rich Lillis of Colliers International, the real estate company that has been marketing the site, declined to comment.

Prior to the auction, the Ten-X listing touted the the property as an opportunity for a new owner "to maximize profits through new operational strategies while planning for redevelopment," according to the listing. DoubleTree, Crowne Plaza and Wyndham are among the hotel brands that have shown interest in the property in the past.

The resort generates between $500,000 and $600,000 in tax revenue for the city each year, and city officials have been concerned over a loss of revenue if the resort closes, according to the Kane County Chronicle.

In November, the resort announced it would lay off 75 percent of its staff, which is 149 employees, in January. Weeks later, the resort could lay off its 49 remaining employees by the end of February, according to an Illinois Worker Adjustment and Retraining Notification report.

• Pheasant Run Laying Off 149 Employees: Report
• Pheasant Run Could Lay Off Remaining Staff Next Month

In 2011, a foreclosure lawsuit was filed against the resort. At the time, attorneys for U.S. Bank and CW Captial Asset Management—which issued a $29 million loan to the longtime St. Charles resort in 2006—claimed Pheasant Run didn't make payments for several months and now owes $28.5 million in principal, interest and penalties.

Then in 2016, the airport authority filed a condemnation lawsuit to take over the entire resort, according to the Daily Herald. The lawsuit came shortly after the resort announced it would turn its golf course into housing. The DuPage Airport, at the time, had concerns over that plan since the airport abuts the golf course.

The airport authority later agreed to take over only part of the golf course behind the resort and adjacent to the airport, according to the Kane County Chronicle.

MORE ON PATCH

• Auction Underway For Pheasant Run Resort
• What's Next for the Pheasant Run Resort in St. Charles?
• Bank Seeks Receiver in $28.5M Pheasant Run Foreclosure