Rapid City SD – Tzadik Mount Rushmore Hotel, LLC filed its schedules of assets and liabilities and Statement of Financial Affairs on Sept. 4, more than three weeks after the company’s Aug. 13 Chapter 11 petition.
The filing was signed by Adam M. Hendry as Managing Member and executed the same day (Doc. 50, p. 47). The 55-page filing, Doc. 50 in Case No. 26-20751-MAM before the U.S. Bankruptcy Court for the Southern District of Florida, is the first detailed accounting of the debtor’s assets, debts, and finances since the case opened.
Here’s what the filing establishes, what it leaves open, and what to watch for next.
What’s In the Filing
One property, one number. Schedule A/B lists exactly one piece of real estate: The Rushmore Hotel & Suites, Best Western Premier Collection, at 445 Mount Rushmore Road.
The filing describes it as a nine-story hotel with 177 guestrooms — 67 king, 105 double queen and five suites — on a 2.07-acre site, with a current value of $32 million and a net book value of $0 (Doc. 50, p. 12).
The filing lists the building’s gross area as approximately 6,000 square feet — a figure that appears inconsistent with a nine-story, 177-room hotel.
Cash on hand. The debtor reported $50,203.77 in cash across three BankWest accounts as of the filing date: an Operating Account ($19,912.57), a Hotel Credit Cards account ($19,968.67), and an F&B Credit Cards account ($10,322.53) (Doc. 50, p. 5).
Two secured lenders. Schedule D lists BankWest, Inc. with a $20 million secured claim, collateralized in part by the hotel’s liquor license (License #RL-5882), against combined collateral valued at $32,938,248.77 (Doc. 50, p. 19).
Nectar, Inc. holds a $916,954.02 secured claim via a mortgage against the property, valued at $32 million (Doc. 50, p. 21).
A pending state court case. The Statement of Financial Affairs discloses one pending legal action: BankWest, Inc. v. Tzadik Mount Rushmore Hotel, LLC, et al., Pennington County Case No. 51CIV26-001432 (Doc. 50, p. 36).
Contracts on file. Schedule G lists a management agreement with Tzadik Properties, LLC (2450 Hollywood Blvd., Suite 503, Hollywood, Fla.), a franchise agreement with Best Western, a utility contract with Midco, an elevator service agreement, and contracts covering convention and tour-bus bookings (Doc. 50, p. 32).
No itemized 90-day payment list — an attached summary instead. Question 3 of the Statement of Financial Affairs, which asks for payments made to creditors in the 90 days before filing, lists “$0.00 — see attached SOFA3” rather than itemizing payments on the form itself (Doc. 50, p. 35).
The attached three-page exhibit is a vendor-by-vendor disbursement summary covering roughly mid-May through mid-August 2026, showing payments to about two dozen vendors, including BankWest loan payments ($494,604.67), Best Western fees ($107,932.35), the City of Rapid City ($61,861.48), the South Dakota Department of Revenue ($142,728.96), Sysco Foods ($144,952.71), US Foods ($136,499.47), and mortgage payments ($164,980.74), among others (Doc. 50, pp. 48-50).
What It Doesn’t Say
No second hotel or motel property appears anywhere in the filing. Schedule A/B’s real estate section lists only the Rushmore Hotel & Suites — no second Rapid City hospitality property is disclosed as an asset of this debtor (Doc. 50, pp. 8-12).
An unexplained $14,000 payment, twice. The attached disbursement exhibit lists two $14,000 payments, dated July 23 and July 27, 2026, to an entity identified only as “Dakota Flats” (Doc. 50, p. 48).
The filing gives no description of what the payment was for or what relationship, if any, exists between the debtor and that entity. The Sentinel is working to confirm this independently and will report further findings when they can be verified.
Insider disclosures are incomplete. Question 30, which asks whether the debtor made payments to insiders within the past year, is marked “No” (Doc. 50, p. 46).
But the related insider-payment section of the Statement of Financial Affairs (Question 4) was left as a placeholder: “TBA — Debtor is in the process of compiling insider information and will supplement accordingly if necessary” (Doc. 50, p. 35). The filing does not indicate when that supplement will be filed.
What Happens Next
BankWest’s motion to dismiss the case remains pending, with a continued hearing set for Sept. 30.
The Sentinel will continue to track whether the debtor supplements its insider disclosures, and whether the “Dakota Flats” payment is explained in any subsequent filing.
Separately, efforts to independently verify property ownership records tied to this case remain limited: Pennington County’s Equalization Department, which handles property and parcel records, has been operating with reduced online services since a cybersecurity incident affecting county systems this summer.
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