Resort destination mall and hotel seek Chapter 11 bankruptcy

Boatworks at Tahoe LLC, the owner of a shopping mall and hotel in Tahoe City, California, has filed for Chapter 11 bankruptcy protection to avoid foreclosure. The bankruptcy filing prevents legal actions against the company while it restructures its assets. The property, which includes an 80-room hotel, 31 condominiums, and 8,000 square feet of retail space, was initially planned for demolition in 2024 but has not proceeded.

The mall and hotel, which have been a part of Tahoe City for over four decades, are crucial to the local economy. The bankruptcy filing allows the company to remain open and continue its efforts to revitalize the property and preserve its unique character.