A Chicago Landlord Claims a Lender TRICKED Him Into $12M Guarantee

Why It Matters

The case could set a precedent for personal‑guarantee enforcement, influencing how lenders and borrowers structure deals in a market plagued by defaults.

Key Takeaways

• Landlord signed blank guarantee page, claims the fraud.
• $12M personal guarantee contested in Chicago foreclosure court.
• Lav Properties defaulted on $1.8M Rock 360 loan.
• Southside real‑estate distress fuels lawsuits and defaults across city.
• Outcome may reshape lender‑borrower risk assessments in nationwide markets.

Summary

The dispute centers on Chicago multifamily investor Gia Worersberger, who says a lender forced him to honor a $12 million personal guarantee that he never reviewed.

In February 2024, Lav Properties, an affiliate of Worersberger’s firm, borrowed $1.8 million from Rock 360 to fund a $14 million purchase of the 128 Southside Apartments. The loan went into default by November, and Rock 360 is now seeking to enforce the alleged guarantee, arguing that Worersberger signed a blank signature page that was later attached to the guarantee.

Worersberger’s court filing alleges fraud, stating he was not present at closing and never approved the guarantee. He told The Real Deal that he “paid a little too much” during the Southside buying frenzy, underscoring the broader over‑leveraging that has plagued the area’s investors.

If a judge sides with Worersberger, lenders may tighten personal‑guarantee requirements and increase due‑diligence on signature pages. Conversely, an adverse ruling could reinforce lenders’ ability to hold principals personally liable, reshaping risk calculations in distressed urban real‑estate markets.

Original Description

A prominent Chicago landlord says he’s not on the hook for an $11.8M loan — because he signed a blank page.

That claim now sits at the center of a $12 million foreclosure fight, one that reaches beyond a single deal and into the deeper distress reshaping Chicago’s South Side multifamily market.

As lenders push to recover losses and landlords confront the costs of a frenzied buying cycle, the question is no longer just who overpaid — but who gets stuck with the bill.

Who pays when the deal falls apart?

Tap here for the full story: https://therealdeal.com/chicago/2026/04/14/wurzberger-claims-lender-roc-tricked-him-into-guarantee/