RAPID CITY, S.D. – The parent company operating The Rushmore Hotel & Suites in downtown Rapid City has filed for Chapter 11 bankruptcy protection.

Tzadik Mount Rushmore Hotel, LLC, filed a voluntary petition on Aug. 13 in the U.S. Bankruptcy Court for the Southern District of Florida under case number 26-20751. The debtor listed its principal place of business in Hollywood, Florida, while its primary real property assets are located at 445 Mount Rushmore Road in Rapid City; The Rushmore Hotel.

According to official court filings, the company estimated both its total assets and total liabilities to be between $10 million and $50 million. The petition indicates that funds are expected to be available for distribution to unsecured creditors.

“There is a big difference between a Chapter 11 bankruptcy and a Chapter 7 Bankruptcy,” Said former law professor Roger Baron. The theory behind Chapter 11 is that the Debtor “wants to make it work” and will present a plan to keep operations going.  It is a plan that is, of course subject to court approval after a hearing and an opportunity for creditors to object. But, Chapter 11 can still do the same damage to creditors that Chapter 7 can do and there is no guarantee that the Debtor will remain loyal to its plan to “make it work.””

The bankruptcy petition estimates between 1 and 49 creditors. Among the largest unsecured claims are several local South Dakota entities, including Western States Fire of Rapid City with a claim of $116,595 , Pennington County with $113,494.07 , West Plains Engineering of Rapid City with $17,523 , and Unity Contractors of Rapid City with $2,200. Additional local creditors listed in filings include Riverfront Broadcasting , Architectural Specialties , and Wolff Plumbing of Spearfish.

According to Official Form 204 filed in the Chapter 11 bankruptcy case for Tzadik Mount Rushmore Hotel, LLC, the following unsecured claims were listed for creditors who are not insiders:

  • Western States Fire (Rapid City, S.D.) – $116,595.00
  • Pennington County (Rapid City, S.D.) – $113,494.07
  • West Plains Engineering (Rapid City, S.D.) – $17,523.00
  • US Foods (Boca Raton, Fla.) – $8,608.30
  • Sysco Foods (Billings, Mont.) – $8,026.37
  • Unity Contractors (Rapid City, S.D.) – $2,200.00
  • Unity-generator (Rapid City, S.D.) – $2,200.00
  • Quality Brands (Rapid City, S.D.) – $1,629.40
  • Southern Glazer’s Liquor (Sioux Falls, S.D.) – $1,592.62
  • Johnson Brothers Liquor (Sioux Falls, S.D.) – $1,041.97
  • Riverfront Broadcasting (Rapid City, S.D.) – $1,025.00
  • ASCAP (Chicago, Ill.) – $734.83
  • Architectural Specialies (Rapid City, S.D.) – $324.40
  • Wolff Plumbing (Spearfish, S.D.) – $183.20

Since 2025, several entities affiliated with Tzadik Mount Rushmore have commenced cases under Chapter 11 of the United States Bankruptcy Code. Each of the affiliated Chapter 11 cases have been assigned to the Honorable Mindy A. Mora. A list identifying each of the affiliated debtors is set forth below: 

  • Tzadik Sioux Falls Portfolio I, LLC 
  • TMG 2, LLC 
  • Garden Villas Apartments, LLC 
  • Tzadik Hidden Hills Apartments, LLC 
  • Tzadik Rapid City Portfolio I LLC 
  • Tzadik Sioux Falls I, LLC 
  • Tzadik Sioux Falls Portfolio III, LLC 
  • Tzadik Taylor’s Place, LLC 
  • Tzadik Blue Hawk LLC 
  • Tzadik Energy Portfolio LLC 

Managing Member Adam M. Hendry signed the bankruptcy petition on behalf of the corporation. Attorney and partner Jesse R. Cloyd of Agentis PLLC serves as legal counsel for the debtor.