CEDAR FALLS, Iowa --- A bid floor has been set for the former office headquarters of Peregrine Financial Group Inc.
On Wednesday, the federal court overseeing the bankruptcy of PFG and its now-imprisoned former CEO, Russell Wasendorf Sr., issued an order approving receiver Michael Eidelman’s “stalking horse” contract for the sale of the 48,250-square-foot office complex and surrounding 22.07 acres at 1 Peregrine Way in rural Cedar Falls for $2.75 million.
Anyone interested in purchasing the property and participating in the auction must offer at least $2.85 million.
The property is scheduled to go on the auction block May 31. The deadline for bids is May 24, according to Chicago-based G.A. Keen Realty Advisors LLC, which is conducting the auction.
PFG, a former commodity futures brokerage, which also ran a publishing arm went bankrupt in July 2012 after Wasendorf, 65. attempted suicide and was subsequently arrested on fraud-related charges. In September, he pled guilty to embezzling $215.5 million from more than 13,000 customers over the course of 20 years. In early February he began to serve a 50-year sentence in a federal prison in Indiana.