Small City in Washington State Files Rare Bankruptcy Over Developer Dispute
The Kittitas Valley in Eastern Washington near Cle Elum, Washington.
Photographer: MarkHatfield/iStockphoto/Getty ImagesTakeaways by Bloomberg AI
A small city in Washington State filed a rare municipal bankruptcy after failing to reach an agreement with a developer over a $26 million court judgment.
Cle Elum, a city of 2,200 about 80 miles east of Seattle, said it couldn’t afford to pay the debt to developer City Heights Holdings LLC, and was insolvent.