On the Market: Foreclosure on Trailhead is concluded this week

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— Routt County Public Trustee Jeanne Whiddon confirmed this week the foreclosure on Trailhead Lodge by a Utah company was concluded with a bid of $28 million.

The outstanding debt and interest of $45.58 million was purchased last week by a business entity affiliated with SilverLeaf Financial, of Salt Lake City. Foreclosing on the property, to reorganize its financial structure, was Trailhead Lodge Acquisitions LLC. The debt was assigned to an Illinois business entity, Bixby Fund Bridge Fund I LLC.

Whiddon said that although there was substantial interest in the proceedings among attorneys or different entities with a relationship to the deal, there was no competing bid and everything proceeded smoothly.

Habitat for Humanity duplex is under way

Jody Patten, of Routt County Habitat for Humanity, reports her organization already is hard at work on pouring concrete for the foundation of a new duplex residential building in Riverside.

“That’s thanks to a recent $15,000 grant from the Wells Fargo Housing Foundation, our single largest private donor to date,” Patten wrote in a news release this week. 

A crew from the National Honor Society at Steamboat Springs High School will be getting its hands dirty alongside two or three of the new homeowners Wednesday after school.

The families who will someday occupy the homes include an active duty military family with two youngsters and a mother of two teenage boys. They were picked via a “blind” family-selection committee process that scored their housing needs. Both families live in rental homes they stand to lose because the owners plan to move back to town and both spend well over 50 percent of their incomes on rent and earn below 50 percent of area median income ($30,000 for families their size). Both families have committed to working 300 to 350 hours on building their own homes with Habitat.

When their homes are complete, each will pay a down payment and a monthly mortgage of $400 to $500 based on the cost to build each 1,100-square-foot unit. Those payments go back into Habitat’s “Fund for Humanity” to help build more homes.

Comments

steamboatsprings 3 years, 1 month ago

I don't think these guys have this kind of money and at the same time are clueless enough to pay retail, optimistic retail value at that without even considering it is distressed. $28M is $423 per sq ft, it would be a very good sign for the market if they can sell it for that.

What is likely is that since they own the note they can bid whatever they would like and don't actually have to pay it since it is the equivalent of the bank bidding on their own note at a foreclosure auction. No money changes hands, now they just own the property instead of the note. The side benefit is they put the message out there that they paid this amount for the property thus implying it is worth more which is somewhat cunning. Even at $18m this one was really thin and word is they paid well north of $20M for the note. They sure didn't price in much risk or time value of money. Will be interesting to see this one play out.

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