SALT LAKE CITY — One of the Salt Lake Valley's most popular dining spots has been sold for nearly $10 million. The sale of the LaCaille restaurant brings to a close a tumultuous story of court battles and the suicide of the couple that ran the business for years.
Last week, a U.S. Bankruptcy Court approved the sale of La Caille and its 20-acre property to Kevin Gates, president of Salt Lake City-based 19 Kamaka LLC. The total sale was comprised of three separate parcels that included the restaurant that sold for $6.5 million and two residential parcels that sold for $2.5 million and $1 million, respectively.
The deal is expected to be finalized later this month.
Steven Runolfson and David Johnson had co-owned the establishment since 1973. Runolfson also lived on the property with his wife, Lisa, with Steven serving as president and chief executive officer of the business.
Last year, a court ruled in favor of former La Caille co-owner Mark Haug, awarding him $4.7 million in a civil lawsuit against Runolfson and Johnson filed in 2006. Haug had been a minority partner in the restaurant located at 9565 S. Wasatch Blvd.
In March 2010, a 3rd District Court jury found that Runolfson and Johnson breached their partnership agreement with Haug in an attempt to take control of his share. The award included punitive damages after the jury found that Runolfson and Johnson were behind a “malicious prosecution” scheme that resulted in Haug being charged with misappropriating La Caille money.
The Salt Lake County district attorney later dropped the charges, but the award forced La Caille into Chapter 11 bankruptcy and the property was put up for sale.
On Christmas Day 2010, the bodies of Steven and Lisa Runolfson were found in a Provo hotel. Police say the deaths were the result of a murder-suicide pact, with Steven shooting his spouse before turning the gun on himself.
The family's appeal of Haug's award was settled last month, with Haug agreeing to a reduced $2.5 million.