Saturday, November 13, 2010

Festival Ranch sale is high-profile for W. Valley

A large planned development on the western edge of metro Phoenix known as Festival Ranch has sold for $30 million. The sale of the 7,042-acre Buckeye project is the biggest land deal to close in the region since 2008.

A group called Tsan Li Ni bought Festival Ranch, as well as a stake in the sale of the remaining 5,000 homes planned for the development's Sun City community. Tsan Li Ni has been investing in Phoenix-area land since the 1990s.

The seller was 10,000 West, a group formerly controlled by Lyle Anderson Co. but now led by the Bank of Scotland. Prominent golf-course-community developer Anderson paid $12 million for the original 10,000-acre Festival Ranch site in 1996. Mike Schwab of Scottsdale-based Land Advisors Organization said the parcel has the potential for a patient buyer to make a significant return on the investment. He, along with Land Advisors CEO Greg Vogel and Ross Cooper of New Horizons Realty, negotiated the deal for Tsan Li Ni. Blake McKee of CB Richard Ellis worked with the seller.

Foreclosure update

Metro Phoenix foreclosures fell in October, but it appears only to be a temporary drop due to Bank of America's moratorium on short-term foreclosures.

There were 4,034 residential foreclosures last month, down 843 from September, reports Information Market.

But 715 BofA trustee sales, or foreclosures, were put on hold in October, said Tom Ruff of Information Market. He and other housing-market watchers believe those houses will ultimately be foreclosed on, which will push up foreclosure numbers during the next few months.

Payment-option loans

More than 1,700 Arizona homeowners with payment-option, adjustable-rate mortgages could receive loan modifications from Wells Fargo.

The lender recently reached an agreement with the attorneys general of eight states, including Arizona, over deceptive marketing of payment-option loans made by two banks it acquired: Wachovia Corp. and Golden West Corp. The deal includes $86 million in principal forgiveness for Arizona homeowners. Wells Fargo will also pay the Arizona Attorney General's Office $2.1 million to help with foreclosure prevention and fraud.

State Attorney General Terry Goddard's office subsequently negotiated a $1.1 million settlement with the California firm Home Loan Center over deceptive advertising of payment-option mortgages. The money will also be used to help prevent foreclosures and loan-modification fraud.

by Catherine Reagor The Arizona Republic Nov. 10, 2010 12:00 AM

Festival Ranch sale is high-profile for W. Valley

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