TAHOE CITY

On Aug. 11, Boatworks at Tahoe LLC commenced a reorganization under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Eastern District of California. Boatworks announced that it will remain open while it seeks court approval of a reorganization plan.

Boatworks owns and operates the iconic Boatworks Mall and the Inn at Boatworks, a 34-room hotel, on Lake Tahoe’s North Shore. Like many shopping centers in recent years, Boatworks faced a bank foreclosure.

“Staying open is crucial for the business, the employees, and the community,” said Marie Murphy, whose firm, MJD Capital Partners, manages, on behalf of the ownership entity, the storied site. “A Chapter 11 reorganization of the LLC that owns this iconic project legally prevents foreclosure while the business restructures.”

The Inn at Boatworks was constructed in 1958, and the mall was added 20 years later. Boatworks’ long history has been marked by eclectic shops, famous restaurants, stunning views, and community connection. But Boatworks is not immune from problems affecting retail and hospitality enterprises nationwide.

“We continue to believe a mixed-use redevelopment is the best way to revitalize Boatworks and preserve its unique character,” Murphy said. “Foreclosure would be a major blow to the area. For over four decades, Boatworks has been Tahoe City’s place to be. With this reorganization, we intend to continue our efforts to ensure that that legacy continues.”

~ Boatworks at Tahoe LLC press release