Uptown 240 faces foreclosure after more than 3 years of delays and setbacks
After failing to make significant progress since it broke ground in 2019, the Uptown 240 project is on the path to foreclosure.
According to Dillon Town Manager Nathan Johnson, the town recently received notice that JGJP Dillon, LLC, the current lender of the project, filed paperwork to start the foreclosure process.
Jake Porritt recently spoke on behalf of JGJP Dillon LLC at the last Dillon Town Council work session on Tuesday, Nov. 15.
If requirements to avoid foreclosure aren’t met, the Uptown 240 property — which is currently owned by Danilo Ottoborgo — will be sold at a public auction at 10 a.m. on Feb. 24. As is the process with foreclosures, Ottoborgo is being given a “cure period” where he has the opportunity to pay off any past due debts.
“It has to get to the point of the sale,” Johnson said. “They still have a cure period where they could pay off the current loan. There’s still a process there. We are going to work with whoever it is that owns the property to make sure that the project is built and completed. Whoever that is, we are here waiting, and we want to get this thing going.”
Ottoborgo issued the following statement following the news that the project moving towards foreclosure.
“As the owners and developers of Uptown 240, who have been students, neighbors and business owners in Dillon for three generations,” Ottoborgo said, “we look forward to bringing our community’s dream to fruition and completing Uptown 240 as planned. Our team, lender, and Porritt are in communication to finalize the payment and release of Porritt in our upcoming loan closing, resolving any further debts or obligations with one another.”
Uptown 240 has faced its fair share of challenges since its inception. After breaking ground in June 2019, the development was put on hold after it lost financial backing due to the pandemic.
According to previous reporting, the financial group that supported the project faced hardships due to COVID-19 and was no longer able to continue with the development of the project.
Since then, the project has remained in a constant state of flux. In August, the Summit Daily News reported that the project was getting closer to securing a loan. In September, JGJP Dillon, LLC, purchased Uptown 240’s debt.
With the purchasing of the debt, the JGJP Dillon, LLC, gave Ottoborgo the opportunity to seek the capital necessary to finish the 80-unit luxury condominium project in Dillon. Ottoborgo presumably failed to secure the necessary capital, resulting in the move towards foreclosure.
Ottoborgo has personal ties to the project. The family tore down its restaurant — Adriano’s Bistro — in order to build the condominium project on top of the old site.
Recently at the beginning of October, Danilo backed out of a development update meeting less than an hour before it was scheduled to start. The meeting left members of the Dillon community seeking answers on a project that is aimed at helping revitalize the downtown core of Dillon.
The town of Dillon and Ottoborgo are hoping to move on from the challenges surrounding the project over the last few years.
“There’s a lot of frustration around this project,” Johnson said. “We want to make sure this is built and done but then also relaying the information onto the people who have put down a down payment on potentially buying one of these units. We are hoping that no matter which way this goes that there is more communication and this project can hopefully get built.”
Ottoborgo declined an interview with Summit Daily News.
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