Summerset Apartments, a 120-unit complex in the Lemon Hill neighborhood of south Sacramento, has hit the market as part of a Chapter 11 bankruptcy case, putting both the property and its tenants into a court-supervised sale process. Brokers marketing the site at 6267 Martin Luther King Jr. Blvd describe it as a trustee-led disposition that will need sign-off from the bankruptcy court, even as the property’s mortgage holder continues to pursue litigation against the owner.
According to the Sacramento Business Journal, the listing surfaced after Fannie Mae filed an active lawsuit against the owner, and the owner has since entered bankruptcy. Reporter Ben van der Meer was first to connect the for-sale notice to the brewing dispute with the lender.
Offering materials posted on the LightBox Revere platform for Cushman & Wakefield’s Sacramento Multifamily Advisory team stamp Summerset as a “BANKRUPTCY SALE.” They state that the disposition is structured as a Chapter 11 trustee sale that must be approved by the court. The memorandum lists Michael Mathios as the sales contact and describes Summerset as a 120-unit, value-add asset with clear capital needs…