Jump to Navigation

Bucks County Historical Society waits for decision on railroad sale

The 128-year-old Stewartstown Railroad is a southern York County, Pennsylvania, landmark in the small town for which it is named. It is also at the heart of a $350,000 property dispute. The railroad's foreclosure is likely if the debt to the estate of a deceased private lender, who made the Bucks County Historical Society a beneficiary, goes unpaid.

Because the property in question is a railroad, estate attorneys have filed a petition with the federal Surface Transportation Board, which will decide in the next four months whether to approve or deny a reverse abandonment. Approval would mean foreclosure and the liquidation of the railroad's historic assets, including locomotives and passenger cars.

A plan to raise money by restoring the idle engines and passenger cars for freight hauling and tourist trips was rejected.

The estate's attorney says the Stewartstown Railroad stopped making mortgage payments when its creditor died in 2008. He contends that the railroad has not been used for a decade. He explained that he sees no reason to take a credit risk by allowing the debtor to take another five years to pay off the mortgage.

If the Surface Transportation Board grants the estate's request for a reverse abandonment, the estate will move forward to file a foreclosure petition with the York County Court. Court approval would push the railroad to a sheriff's sale.

The Stewartstown Railroad board says it does not have the funds to pay off the debt. The only way the mortgage will get paid is through voluntary donations. The railroad is hoping it will be able to rally the community to pay off the debt before the transportation board makes a decision to shut the railroad down.

Source: WPMT-TV Fox 43, "Stewartstown Railroad Could Face Foreclosure; Wiping Out Historic Landmark," Amber Miller, 13 July 2011

1 Comment

The Stewartstown Railroad should be saved some how.It could be as popular as the Strasburg Railroad is now Tourists wouild then see it and the region would have economic growth established with much needed tourist dollars.It would be ashamed to lose it forever.

Leave a comment
Comment Information
Subscribe To This Blog's Feed
Contact our firm

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

Visit Our Real Estate Law Website >>

Office Location

Avallone Law Associates
215 South Broad Street
Fifth Floor
Philadelphia, PA 19107

Local: 215-253-3855
Toll Free: 877-223-0579
Fax: 215-545-3817

Map & Directions
E-mail the firm

Privacy Policy | Business Development Solutions by FindLaw, part of Thomson Reuters.

FindLaw Network