The owner of the Fortuna House apartments in Miami's Edgewater neighborhood filed for chapter 11 protection to halt a foreclosure lawsuit, the South Florida Business Journal reported. The building is currently unoccupied because the city declared it an unsafe structure, so this raises further questions about its future. Daniel Marzano signed the petition for the Hialeah-based company. It listed assets of $5.04 million and liabilities of $3.7 million. The company owns the 24-unit apartment complex at 432 N.E. 26th St. It was built on the 4,900-square-foot lot in 1925. In December, First Citizens Bank & Trust Co. filed a foreclosure complaint against Edgewater Holdings Miami over the property, alleging $2.8 million in principal, plus interest, was due and the loan was in default for missed payments. The case was still pending, but the chapter 11 filing stayed it. Edgewater Holdings Miami also had a pending lawsuit against Fortuna Holdings, the building's previous owner, accusing it of overstating the financial performance of the building in prior years and not disclosing physical defects of the building before it was sold. Fortuna Holdings denied the allegations.
