Upscale Oregon Resort Goes on Auction Block
The Riverbend Resort, with 19-room hotel and conference center, in Harrisburg, Ore., is about to go up for auction, KMTR-TV, Springfield, Ore., reported.
After the original owners went bankrupt, Citizens Bank took over the resort early this year.
Now the 14-acre RV destination is on the auction block. Riverbend RV park first broke ground in 2004, when RV sales were strong. They set up shop by major RV manufacturers in Junction City and Harrisburg.
The idea was to siphon business from RV owners in town for repairs or upgrades. Resort managers say when it was opened in 2009 RV sales had dipped, and the resort's guests had gone with it.
After seizing the property, the bank kept the park open and managed by a hospitality group from Portland. "They understand that this is a huge asset for Harrisburg and Junction City,” says Mark Keller, the current manager of the resort. “They want to keep it continuously open to retain that value and also to keep everyone employed."
Citizens Bank says with the hotel and conference center attached, the resort is still profitable. They say it's unlikely that someone would buy the resort to liquefy its assets. "In a property like this, a resort, there's much more value in an operating entity,” says Vice President Bill Hubel. “As opposed to a closed, just a vacant piece of property."
As the asset holder, the bank will put up a starting bid of nearly $3 million. The resort was said to have cost around $5.3 million when it opened. Hubel would like to see the resort go back into private ownership. The winning bid in the auction has to be paid that day in full.