A deal to purchase the Austin Music Hall that reportedly fell apart has prompted a lawsuit in Travis County District Court.
In court documents, California-based Misuma Holdings claims it put down $200,000 in earnest money during negotiations with OmniBank, which repossessed the concert venue, at 208 Nueces St. in downtown Austin, in mid-2012.
The proposed all-cash purchase price for the building, which the Travis Central Appraisal District values at $9.2 million, was about $7.7 million, according to court records.
The planned purchase was set to close April 11 but the deal unraveled, Misuma Holdings says, when it learned of OmniBank’s alleged “failure to remedy all permit issues identified by the city of Austin.”
On June 19 and again on July 3, Misuma Holdings, according to court documents, asked OmniBank to return the $200,000 in earnest money, which the bank has reportedly failed to do.
Under terms of the sale contract, Misuma Holdings says the money was to be “returned to buyer promptly upon demand.”
The suit seeks return of the earnest money, as well as interest, court costs and attorneys’ fees. A trial date has not been set.
In an emailed statement, OmniBank President and CEO Julie Cripe said the bank believes the lawsuit is “without merit.” The bank, she said, continues to own and operate the facility.
Representatives from Misuma Holdings, which also owns the Lincoln Village shopping center in Central Austin, did not respond to a message from the American-Statesman seeking comment.
City of Austin spokeswoman Melissa Martinez said Monday afternoon that city records showed Austin Music Hall had no active code compliance cases. Earlier this year, she said, inspectors found a disconnected balcony railing, but the issue was fixed.
Sylvia Arzola, spokeswoman for the city’s Planning and Development Review department, said records showed the building had no active building permits.
Since last year’s foreclosure, the music hall has continued to host concerts and other events. A performance by My Bloody Valentine is set for Aug. 16.