The bankrupt owner of Spring Gate Winery in suburban Harrisburg is seeking court permission for a sale of the winery and some of its assets, including its beer and wine licenses.
According to court filings this week, Schoffstall Farm LLC is asking for approval of a sale to Nitin Patel, who would pay $2.85 million for the winery.
The winery entertained other offers and expressions of interest, which slightly upped the price from Patel’s initial offer. But Patel’s was the only qualified offer, according to filings in U.S. Bankruptcy Court for the Middle District of Pennsylvania.
Efforts to reach an attorney for Patel were not successful.
Bob Chernicoff, an attorney for Shoffstall, said he believed the potential buyer planned to continue operating the 60-acre winery and possibly expand. “They have some experience in the liquor business and are very enthusiastic,” he wrote in an email.
Why is this happening: Schoffstall Farm filed for bankruptcy in May under the weight of business lost to the Covid-19 pandemic and the spike in inflation that followed.
Proceeds from a sale would go to pay off creditors, which include Mechanicsburg-based Horizon Farm Credit and Lancaster-based Fulton Bank.
If the court approves, Patel would purchase the real estate, liquor licenses, equipment and other assets.
The winery, which has remained open throughout the bankruptcy process, hosts numerous events throughout the year and also includes a brewery and spirits business.
Located in Lower Paxton Township, it was founded more than a decade ago by Harrisburg-area entrepreneur and investor Martin Schoffstall.
