West Virginia Gov. Justice avoids foreclosure on his 11,000-acre resort

[RAY BOGAN]

West Virginia Governor Jim Justice is on a glide path to Capitol Hill, he’s expected to handily win his Senate race this November. But before he jets off to Washington, he’s looking to settle things with one of his businesses that’s not doing so well – his family just made a deal to avoid foreclosure on their 710-room, 11,000 acre Greenbrier Resort. 

[JUSTICE]

“It’s taken care of, and we move forward, and The Greenbrier is as whole as it can possibly be,” Justice said at a briefing Thursday. “The Greenbrier is going to be in our family forevermore.”

[RAY BOGAN]

There was supposed to be a court hearing on the matter Friday and an auction of the property on Tuesday, both were canceled. 

According to a statement from the family, Beltway Capital will receive a specific payment in full by October 24. They said as long as that payment is made, all issues regarding the Greenbrier are concluded. 

Justice said the family originally took out a $200 million unsecured loan on the property, which they paid all the way down to $9.4 million. He said they made payments as recently as June. He accused JP Morgan of making a political decision to sell the loan to Beltway Capital, which declared the loan in default last month. 

[JUSTICE]

“We had a 14 year working relationship with J.P. Morgan and then shortly after the primary where I was the winner, hands down you’re going to the U.S. senate, no matter what anybody says under the sun,” Justice said. “It made total no sense, other than political.”

[RAY BOGAN]

The Greenbrier is one of the oldest hotels in the United States. It was founded in 1778, closed during the Civil War to serve as a military hospital and command center, and reopened in 1865. The historic property is rich in resources like mineral hot springs and golf courses designed by Jack Nicklaus. 

But perhaps the coolest part of its history is a 112,000 square foot nuclear bunker, codenamed Project Greek Island. It was built between 1958 and 1961 so Congress could take shelter and continue operating in case of nuclear war. It has a 25 ton blast door, beds for every lawmaker and their family, and everything needed to live underground. The federal government terminated the lease with the Greenbrier in 1995, it opened for tours in 2006. 

According to West Virginia Watch, Democrats said Justice should drop out of the race due to the hotel’s financial problems. That includes the loan and failure to make payments to the employees health fund, which could lead to employees losing their healthcare coverage. 

[WEST VIRGINIA WATCH]

“His financial house of cards is falling down around him, making him a terminally compromised candidate. Under these circumstances, [Justice] can’t continue to seek election to the United States Senate. He has become a national embarrassment.”

[RAY BOGAN]

Justice dropping out may be the only chance Democrats have to win. A poll from June found Justice is up 30 points over his Democratic opponent.