Another Georgia-based real estate company has filed for bankruptcy protection. A Georgia-based single asset company has filed for Chapter 11 protection in court. The company is seeking to restructure its debts, but the court flagged missing documents that could lead to dismissal.
Eraye Realty LLC Filed for Chapter 11 Bankruptcy
According to PacerMonitor, Eraye Realty LLC filed for Chapter 11 bankruptcy protection on September 16. The Georgia-based single asset real estate company filed a petition to restructure its debts. It has reported no prior bankruptcy cases within the last eight years and seeks to undergo a court-supervised process.
Headquartered in Conyers, the company manages residential properties, with its primary holdings located in New York. The primary business involves the ownership and management of a specific real estate property. Owner and President Jessica Lane leads the company.
The company plans to reorganize its debts while continuing operations during the bankruptcy process. Attorney Alan Hingerleider is representing the U.S. Trustee and will oversee the case.
Case Filing and Court Proceedings
The company filed a standard Chapter 11 petition in the Northern District of Georgia Bankruptcy Court. Eraye Realty LLC aims to reorganize its debts and operations while continuing business.
The bankruptcy filing reveals assets valued between $500,000 and $1 million. However, the liabilities range between $1 million and $10 million with 1-49 creditors. After administrative expenses, no funds are expected to be available for distribution to creditors.
This imbalance in assets and liabilities has led the company to file for bankruptcy. The company must submit a reorganization plan by January 14, 2026, along with a disclosure statement providing details for creditors and stakeholders.
However, the court found a filing deficiency on September 17. The court has ordered the debtor to fix these mistakes by September 30; otherwise, the court will dismiss the case. A complete list of shareholders, creditors, and proof that the board of directors has authorized this filing needs to be submitted.
On October 20, a meeting of creditors is scheduled, where creditors and the U.S. Trustee can question the debtor about its finances. The session will be held by telephone once the required documents are filed.
The Chapter 11 filing grants the company protection as it works to reorganize its business and avoid liquidation.
