Rumors, speculations, and a factually incorrect publication from The Detroit News and The Associated Press have created confusion surrounding the Masonic Temple in Detroit. It was originally published that the Masonic Temple in Detroit was filing for chapter 11 protection with the help of a bankruptcy lawyer, meaning that the city of Detroit potentially faced one of the largest municipal bankruptcy filings in American history. The only problem is that the original reports were incorrect.
Masonic Temple Theatre Co. Files Chapter 11
It turns out that it is the Masonic Temple Theatre Company, not the Masonic Temple in Detroit, that will be filing for chapter 11 with the help of a bankruptcy lawyer. Contrary to that original reports that have circulated around the city and the nation, the Masonic Temple has not sought chapter 11 protection, or any other type of bankruptcy protection.
In fact, the Masonic Temple was once on the verge of being put up on sale – or perhaps even being auctioned. However, renowned musician Jack White generously paid the $142 thousand in back taxes that the Masonic Temple in Detroit owed. This contribution eased most of the Masonic Temple’s financial struggles, eliminating the need to file for chapter 11 through a bankruptcy lawyer. The 1,586-member venue remains safe for now. The unrelated Masonic Temple Theatre Co., however, has filed for chapter 11 bankruptcy.
According to the chapter 11 petition, filed with the help of its bankruptcy lawyer, the Masonic Temple Theatre Company has between $100 thousand and $500 thousand in liabilities, but its assets are only measured at $50 thousand. As the likely bankruptcy unfolds in Detroit, eyes will continue to watch as other entities in the city have their own financial reckoning.