Foreclosure Threat Looms Over Atlantic City’s Showboat

A foreclosure complaint filed against Atlantic City's Showboat Resort and its owner, Bart Blatstein, has put the future of the Boardwalk hotel and resort in question.

Philadelphia Business Journal was the first to report that Showboat Properties and Blatstein face foreclosure after a lender sued to have part of the property auctioned in a sheriff’s sale to recover millions of dollars in debt.

According to the PBJ, the lender, Computershare Trust Co., filed the claim on June 30th saying that Showboat had defaulted on its $48.4 million loan in commercial mortgage-backed securities.

Showboat Resorts' Unpaid Debt

In its filing in Atlantic County Superior Court, the trust company said Blatstein’s company has not made any payments toward the debt in over a year.

The lawsuit also alleges several contractors have filed legal claims against the property for unpaid work.

It's not the first time that contractors who have worked on the property have claimed they weren't paid. In 2025, a judge ordered Blatstein and his construction company to pay Lee-Way Electrical of Buena $532,933.35 plus 12.5% interest “until paid in full.”

Another contractor, R. Palmieri Electrical Contractors of Buena, claimed it was owed over $3 million for work completed on the Showboat Waterpark.

Parker Interior Plantscape Inc. sued Blatstein in 2024 for $1.7 million in work in the Waterpark. Court records show that money was repaid and the case was closed.

Showboat Faces Partial Foreclosure

The Philadelphia Business Journal reports that the part of the Showboat included in the foreclosure includes at least 475 guest rooms, the Lucky Snake Arcade, and the parking garage.

Computershare Trust Company is asking the court to approve a sheriff's sale auction for this portion of the Showboat complex.

Bart Blatstein told the PBJ that he is in negotiations to restructure this debt and that the Showboat will remain open during this court case.