Foreclosure and the Future of Nashville’s Ritz-Carlton: What You Need to Know About Developer Lawsuits

The Ritz-Carlton hotel project in Nashville has faced significant delays since its announcement in 2021, with multiple lawsuits piling up against the main developer involved. From October 2023 to July 2024, at least seven lawsuits have been initiated against Tim Morris, a Florida-based developer, accusing him of unpaid loans, overdue rent, and fund mismanagement linked to the Ritz-Carlton project and other real estate ventures. Plaintiffs claim Morris owes at least $16.7 million. A bank has already won a $6 million judgment against him in federal court.

In the meantime, the empty SoBro plot initially chosen for the luxury hotel was sold to a new owner earlier this year in a foreclosure auction after the developer defaulted on the loan. The Tennessean examined numerous court documents to uncover the current status of the Ritz-Carlton project and the legal challenges facing the main developer.

Subscribers of The Tennessean can read about how these documents portray a developer with ties to the Marriott family, who initially presented himself as a wealthy individual with luxury cars valued at $500,000 and easy access to funds, only to later claim he didn’t even own a lawn mower.

Whether Nashville will eventually host a Ritz-Carlton hotel remains uncertain, with the outcome likely dependent on the resolution of these legal disputes. Here’s a timeline of the Ritz-Carlton project and the ongoing legal cases. This information is sourced from complaints and other legal documents filed in court.

2018: Morris connects with Nashville-based developers, starting several real estate projects, including townhouses in Belmont-Hillsboro and apartments in Buena Vista and Midtown.

March 2020: Morris’s group buys a small property at 727 Korean Veterans Boulevard for $35 million, planning to build a Ritz-Carlton Hotel and Residences.

May 2021: The development group announces the Ritz-Carlton project under M2 Development Partners and RC Nashville Development Partners LLC.

October 2021 – August 2022: Morris and M2 Development Partners secure an office lease at Fifth + Broadway, lease a storage facility for the Ritz-Carlton project, and obtain a $10 million credit line from Oakworth Capital Bank for pre-development expenses.

June 2023: M2 Development Partners and RC Nashville Development Partners default on rent at their Fifth + Broadway office, according to a lawsuit by Fifth + Broadway.

October 2023: Oakworth Capital Bank files two multi-million dollar lawsuits against RC Nashville Development Partners and Morris as guarantor.

October 2023 – January 2024: Three additional lawsuits are filed against Morris and his business entities.

April 2024: The intended Ritz-Carlton property is sold in a foreclosure sale.

June 2024: The court rules in favor of Oakworth Capital Bank in one lawsuit, ordering Morris to pay over $6 million.

July 2024: Without a response from Morris and RC Nashville, the court rules in favor of Oakworth Capital Bank in another lawsuit, recommending a final judgment against Morris.

July 2024: Two more lawsuits are filed against Morris, including by his former development partners on the Ritz-Carlton project concerning several residential projects.

Available Foreclosures:

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By Elias DaSilva | October 10, 2024.