Scott Gillen's $500 million Malibu Bluffs project files for bankruptcy Play

Scott Gillen and his $500 million subdivision next to Malibu Bluffs Park are in big trouble.

Construction has ground to a halt at The Case, the collection of five uber-wealthy houses built on the bluff almost completely just east of Bluffs Park.

Luxury real estate developer Scott Gillen and his flagship ultra-luxury Malibu development are in a major financial crisis and potential collapse, according to an article in the Wall Street Journal on Thursday.

His companies, partnerships and other legal entities have filed for Chapter 11 bankruptcy protection.

Four of the five houses are looking pretty much abandoned, construction largely completed but luxury finishing amenities like tile and other fixtures collecting dirt in the wind.

Trees that he planted around the Malibu Skateboard Park, as required by the city and the Coastal Commission, are dying.

One house in the subdivision was pre-sold for an estimated $61 million, and the security gate does appear to be staffed, but the other four mid-century-inspired luxury mansions overlooking the Malibu Colony remain unsold.

Gillen, according to the Wall Street Journal, is locked in a legal battle in bankruptcy court with a business partner. Gillen and his legal counsel have declined comment on the filings to the Wall Street Journal.