Failed Miami Condo Conversion Project Leaves Lender Holding The Bag On 333 Unsold Units Securing $28M+

In Miami, Florida, the South Florida Business Journal reports:

• AmTrust Bank is looking to foreclose on a mortgage it holds on 333 units in the Miami condo-conversion project Residences at the Falls in southwest Miami. A notice of lis pendens was filed on Oct. 16 in Miami-Dade County against the developer, Lucky Chase II, which is controlled by Pittsburgh-based Deaktor Development.

***

• According to the complaint, the developer didn’t pay off the loan when it came due on Aug. 9. Lucky Chase II owes nearly $28.9 million on the balance, accrued interest and other charges, the complaint says. It’s racking up a little more than $10,000 per day in interest.

***

• The developer sold 313 units, according to county records.(1) AmTrust’s lis pendens named 333 unsold units in the foreclosure.

For the story, see Residences at the Falls has 333 units facing foreclosure.

(1) I wonder how many of the 313 privately owned units are also in foreclosure, and also wonder how badly the unwitting private unit owners who find themselves stuck with their apartments in this complex are getting creamed on their monthly/quarterly maintenance fees.