Sugar firm Banah International Group Inc. is staying put at its Hialeah headquarters while the company continues working toward bankruptcy reorganization.
U.S. Bankruptcy Judge A. Jay Cristol last week ruled that Banah can remain at the 213-215 SE 10th Ave. facility as long as the company pays its monthly rent on time, according to bankruptcy court records. Banah on Friday gave $100,194 to its landlord, San Francisco-based Terreno 10th Avenue LLC. The payment covers rent from Feb. 21, when the company filed its voluntary Chapter 11 petition, through March.
Going forward, Banah must pay Terreno $88,891 for rent at the beginning of each month, subject to a “three business day grace period,” Cristol wrote in his order granting Banah’s expedited motion to use cash collateral. As long as the company pays rent, Terreno will no longer pursue relief from the automatic bankruptcy stay. Otherwise, Banah would have to vacate the facility within 14 days from the end of the grace period.
Last month, landlord Terreno filed an eviction notice against the 300,000 square foot tenant.
Earlier this month, Banah’s attorneys filed a motion indicating the company had reached an agreement to obtain advances from an undisclosed sugar supplier that would allow Banah to make good on the rent. A $225,000 advance was received before the Chapter 11 petition was filed, and a $180,000 advance would be available as soon as the agreement takes effect.
Banah’s Chapter 11 filing has attracted national attention because the company qualified for substantial state and Miami-Dade County incentives to relocate to Hialeah and create nearly 300 jobs.
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