Lincoln Savings Bank has filed a foreclosure petition against Ignit Johnston LLC, the group behind the proposed indoor/outdoor youth sports and recreational complex in Johnston.

The 15-page petition, filed Nov. 7 in Polk County District Court, names Ignit Johnston LLC co-founder Chad O’Meara and more than 15 junior mortgage or lien holders who have filed mortgages against the property to secure funds that have been lent to O’Meara.

According to the petition, Ignit Johnston’s mortgage with Lincoln Savings Bank is in default. While some payments have been made, Ignit Johnston LLC owed more than $3.56 million as of Oct. 23, plus more than $1,600 per day in accruing interest. To date, that unpaid interest since Oct. 23 totals more than $45,000.

The petition indicates the mortgage was dated Aug. 28, 2020, and recorded on Sept. 4 of that year. There were also two subsequent promissory notes from the bank to O’Meara in 2022.

“The notes have matured and are in default due to borrower’s failure to make payment when due upon maturity and failure to provide various financial information when required under the loan agreements,” the petition read.

O’Meara and the others listed in the petition had 20 days from the date the petition was filed to respond.

If a judgment is ordered in favor of the bank, the property will be sold, the petition stated.

The foreclosure petition raises questions about the future of the project, first announced in June 2020.

In an emailed statement, O’Meara called the foreclosure petition “disappointing.”

“We are grateful for the time, energy, and money that many people have contributed to advance the Ignit Johnston project,” he said. “We are working with other stakeholders to find a path forward. We remain hopeful that this project can be completed.”

He declined further comment.

Officials with the city of Johnston said they first learned about the foreclosure petition on Monday.

In an emailed statement, officials said the city has had one phone call from O’Meara — on Monday evening  — acknowledging the foreclosure petition.

“We are working with our elected officials to determine what this means as we move forward,” a city spokesperson said about the foreclosure petition.

The city referred further questions to O’Meara.

Thomas Burke, the attorney representing Lincoln Savings Bank, declined comment.

Ignit Sports and Fitness’ Johnston complex would be built on about 30 acres north of Interstate Highway 80/35 on the west side of Merle Hay Road. Its plans include four buildings, all of which would be constructed around a plaza area.

In a September 2023 story in the Business Record, O’Meara described the proposed $55 million Johnston facility as a “world-class venue with some nice lifestyle features.”

It was expected to have more than 250,000 square feet of indoor space, including a competition-level track and courts for basketball, volleyball, pickleball and futsal, an indoor style of soccer played on hard-surface courts using a smaller, low-bounce ball.

The area is adjacent to a city park and recreational trails, has been long considered by the city as a gateway into the city and could spur other development in the area. It wasn’t immediately known if the delay in the Ignit Johnston LLC project has affected other development in the area.

The city’s planning and zoning commission approved the site for Ignit Johnston LLC in 2022. Initial plans were for the facility to be completed in spring 2023, but supply chain issues following the COVID-19 pandemic slowed progress, pushing back the projected completion date to late 2024.