Regulators have seized three bank, two headquartered in Florida and one in Oregon, resulting in an estimated loss of $185 million to the Federal Deposit Insurance Corp.
First State Bank, a Sarasota, Fla.-based institution with assets of $463 million and deposits of $387 million, was shuttered on Friday, Aug. 7, producing a loss of $116 million to the FDIC's Deposit Insurance Fund. The FDIC ensures deposits up to $250,000 per account.
On that same day across town regulators were seizing the Community National Bank of Sarasota County, with assets of $97 million and deposits of $93 million. This failure resulted in a loss of $24 million to the FDIC's Deposit Insurance Fund.
The deposits of both Sarasota banks were assumed by Stearns Bank of St. Cloud, Minn. This is not the first time that the FDIC has worked out a deal with Stearns Bank to assume the deposits of a failed institution.
In June, Stearns Bank took over the deposits of the failed Minnesota institution Horizon Bank with assets of $87.6 million and deposits of $69.4 million.
For the year, regulators have seized six Florida-based institutions with combined assets of $14.2 billion and deposits of $9.8 billion. The six Florida bank failures of 2009 have resulted in an estimated loss of $5.4 billion, according to CondoVultures.com research based on FDIC data.
Florida ranks fourth in the country in 2009 for the greatest number of bank failures behind Georgia's 16 closings, Illinois' 13 closings, and California's eight closings, according to the Bal Harbour, Fla.-based consultancy Condo Vultures®.
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Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com. Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ or our Video Gallery. Interested in buying multiple units from developers or banks? Be sure to visit the Condo Vultures® Bulk Deals Database. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Showing posts with label bank failure. Show all posts
Showing posts with label bank failure. Show all posts
Tuesday, August 11, 2009
Friday, August 7, 2009
FDIC To Open Failed Bank Office Next Month In Florida
Federal regulators are staffing up for next month's scheduled opening of what is poised to be a 500-person bank failure and asset sales office in Florida.
The Federal Deposit Insurance Corp, which insures individual accounts up to $250,000, plans to open a "temporary" east coast office on Jacksonville's south side of town in September.
"Throughout its history, the FDIC has used these offices to keep temporary asset resolution staff closer to the concentration of failed bank assets they oversee," according to an FDIC statement. "As the work diminishes, the temporary satellite offices are closed."
Industry watchers expect a surge of bank failures to occur in Florida in the upcoming months as the sunshine state is one of the hardest hit real estate markets yet only six of the 94 FDIC institutions to fail since January 2008 have been headquartered in Florida.
By comparison, neighboring Georgia leads the nation in bank failures with 21 seizures, or 22 percent of the overall total closings, since 2008, according to Condo Vultures® LLC research based on FDIC data.
The FDIC's satellite office is viewed by many industry watchers as further proof that a series of Florida bank failures is imminent in the upcoming months. The FDIC is not dispelling the speculation.
"You put the office as close to the bulk of your work," FDIC spokesman David Barr told CondoVultures.com.
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Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com. Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ or our Video Gallery. Interested in buying multiple units from developers or banks? Be sure to visit the Condo Vultures® Bulk Deals Database. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
The Federal Deposit Insurance Corp, which insures individual accounts up to $250,000, plans to open a "temporary" east coast office on Jacksonville's south side of town in September.
"Throughout its history, the FDIC has used these offices to keep temporary asset resolution staff closer to the concentration of failed bank assets they oversee," according to an FDIC statement. "As the work diminishes, the temporary satellite offices are closed."
Industry watchers expect a surge of bank failures to occur in Florida in the upcoming months as the sunshine state is one of the hardest hit real estate markets yet only six of the 94 FDIC institutions to fail since January 2008 have been headquartered in Florida.
By comparison, neighboring Georgia leads the nation in bank failures with 21 seizures, or 22 percent of the overall total closings, since 2008, according to Condo Vultures® LLC research based on FDIC data.
The FDIC's satellite office is viewed by many industry watchers as further proof that a series of Florida bank failures is imminent in the upcoming months. The FDIC is not dispelling the speculation.
"You put the office as close to the bulk of your work," FDIC spokesman David Barr told CondoVultures.com.
Read More
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com. Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ or our Video Gallery. Interested in buying multiple units from developers or banks? Be sure to visit the Condo Vultures® Bulk Deals Database. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Saturday, May 23, 2009
FDIC Lost $5.2 Billion Last Week
The Federal Deposit Insurance Corp., which guarantees bank accounts up to $250,000, lost nearly $5.2 billion last week with the failure of a Florida savings institution and two Illinois banks.
Last week's bank failures push the total losses incurred by the FDIC in the first five months of 2009 to more than $10.6 billion. In all of 2008, the FDIC lost between $10.4 billion and $14.9 billion, according to a new report from Condo Vultures® LLC using regulatory data.
"The FDIC is losing an average of $2 billion per month with bank failures," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based real estate consultancy Condo Vultures®. "We expect this trend to continue given that the FDIC plans to open a 500-person bank seizure in asset sales office in Jacksonville, Fla., in September to deal with troubled banks in the Southeast and especially Florida."
Of the 36 banks shut by regulators in 2009, only three have been in Florida even though the sunshine state is considered by many to be the epicenter of the U.S. housing crash.
The most recent failure was on Thursday, May 21, with regulators shuttered Florida's largest institution, BankUnited. Headquartered in suburban Miami, BankUnited had $12.8 billion in assets, $8.6 billion in deposits, and more than 80 branch locations throughout Florida.
BankUnited's failure is estimated to cost the FDIC about $4.9 billion, making it the largest bank failure since July 2008 when IndyMac was seized.
IndyMac Bank was a California-based institution with $32 billion in assets and $19 billion in deposits. The IndyMac failure cost the FDIC between $4 billion and $8 billion.
The two Illinois banks to be closed last week on May 22 were Strategic Capital Bank and Citizens National Bank.
Strategic Capital Bank had assets of $537 million and deposits of $471 million. The FDIC's estimated loss from Strategic Capital Bank is $173 million.
Citizens National Bank had assets of $437 million and deposits of $400 million. The FDIC's estimated loss from Citizens National Bank is $106 million.
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Last week's bank failures push the total losses incurred by the FDIC in the first five months of 2009 to more than $10.6 billion. In all of 2008, the FDIC lost between $10.4 billion and $14.9 billion, according to a new report from Condo Vultures® LLC using regulatory data.
"The FDIC is losing an average of $2 billion per month with bank failures," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based real estate consultancy Condo Vultures®. "We expect this trend to continue given that the FDIC plans to open a 500-person bank seizure in asset sales office in Jacksonville, Fla., in September to deal with troubled banks in the Southeast and especially Florida."
Of the 36 banks shut by regulators in 2009, only three have been in Florida even though the sunshine state is considered by many to be the epicenter of the U.S. housing crash.
The most recent failure was on Thursday, May 21, with regulators shuttered Florida's largest institution, BankUnited. Headquartered in suburban Miami, BankUnited had $12.8 billion in assets, $8.6 billion in deposits, and more than 80 branch locations throughout Florida.
BankUnited's failure is estimated to cost the FDIC about $4.9 billion, making it the largest bank failure since July 2008 when IndyMac was seized.
IndyMac Bank was a California-based institution with $32 billion in assets and $19 billion in deposits. The IndyMac failure cost the FDIC between $4 billion and $8 billion.
The two Illinois banks to be closed last week on May 22 were Strategic Capital Bank and Citizens National Bank.
Strategic Capital Bank had assets of $537 million and deposits of $471 million. The FDIC's estimated loss from Strategic Capital Bank is $173 million.
Citizens National Bank had assets of $437 million and deposits of $400 million. The FDIC's estimated loss from Citizens National Bank is $106 million.
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Friday, May 22, 2009
Regulators Seize Florida’s Largest Bank
BY JIM FREER
CondoVultures.com
Federal regulators late Thursday afternoon seized Coral Gables-based BankUnited, FSB, the largest bank based in Florida, and sold it to a newly formed savings bank with the name, BankUnited.
BankUnited’s new ownership is a consortium of investors that includes John Kanas, a veteran New York banker who will head its operations beginning Friday, May 22, and New York-based investment firm WL Ross & Co. The investors are putting $900 million in capital into the bank.
Bank United, FSB, had $12.8 billion in assets and $8.6 billion in deposits as of May 2.
The bank had been suffering heavy losses, stemming mostly from its portfolio of “monthly option” adjustable rate mortgages. South Florida condominium units were prominent among its growing volume of non-current loans and foreclosures.
BankUnited had been under regulators’ orders to find a buyer or raise capital, and regulators had been directing those efforts since late last month. A change in control was widely expected by the end of this week.
The Federal Deposit Insurance Corp. said others in the investment consortium are: Carlyle Investment Management L.L.C.; Blackstone Capital Partners V L.P.; Centerbridge Capital Partners, L.P. LeFrak Organization, Inc; The Wellcome Trust; Greenaap Investments Ltd.; and East Rock Endowment Fund.
The WL Ross-led group was one of several groups that reportedly submitted bids for BankUnited.
BankUnited's 86 branch offices, all in Florida, will be open Friday during normal business hours. All deposits acquired by the new owners will be insured by the FDIC.
Customers can continue to use BankUnited, FSB's, checks, ATM cards and debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
On Thursday, The U.S. Office of Thrift Supervision (OTS) acquired the banking operations, including all the non-brokered deposits, of BankUnited in a transaction facilitated by the FDIC.
The FDIC, as receiver, then arranged the sale to the group led by Kanas and WL Ross.
Details of the regulators’ takeover are on the FDIC’s Web site.
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CondoVultures.com
Federal regulators late Thursday afternoon seized Coral Gables-based BankUnited, FSB, the largest bank based in Florida, and sold it to a newly formed savings bank with the name, BankUnited.
BankUnited’s new ownership is a consortium of investors that includes John Kanas, a veteran New York banker who will head its operations beginning Friday, May 22, and New York-based investment firm WL Ross & Co. The investors are putting $900 million in capital into the bank.
Bank United, FSB, had $12.8 billion in assets and $8.6 billion in deposits as of May 2.
The bank had been suffering heavy losses, stemming mostly from its portfolio of “monthly option” adjustable rate mortgages. South Florida condominium units were prominent among its growing volume of non-current loans and foreclosures.
BankUnited had been under regulators’ orders to find a buyer or raise capital, and regulators had been directing those efforts since late last month. A change in control was widely expected by the end of this week.
The Federal Deposit Insurance Corp. said others in the investment consortium are: Carlyle Investment Management L.L.C.; Blackstone Capital Partners V L.P.; Centerbridge Capital Partners, L.P. LeFrak Organization, Inc; The Wellcome Trust; Greenaap Investments Ltd.; and East Rock Endowment Fund.
The WL Ross-led group was one of several groups that reportedly submitted bids for BankUnited.
BankUnited's 86 branch offices, all in Florida, will be open Friday during normal business hours. All deposits acquired by the new owners will be insured by the FDIC.
Customers can continue to use BankUnited, FSB's, checks, ATM cards and debit cards. Checks drawn on the bank will continue to be processed. Loan customers should continue to make their payments as usual.
On Thursday, The U.S. Office of Thrift Supervision (OTS) acquired the banking operations, including all the non-brokered deposits, of BankUnited in a transaction facilitated by the FDIC.
The FDIC, as receiver, then arranged the sale to the group led by Kanas and WL Ross.
Details of the regulators’ takeover are on the FDIC’s Web site.
Read More
Sunday, May 10, 2009
Florida Bank Failures Foreshadowed By FDIC
Federal regulators are staffing up, leasing office space, and creating a management structure in preparation to seize an undisclosed number of struggling banks in Florida and the Southeastern United States.
The Federal Deposit Insurance Corp., which guarantees deposits of $250,000 at the nation's banks, plans to open a satellite office to be used by up to 500 people in the northeast Florida city of Jacksonville to spearhead the imminent seizures and eventual asset sales.
"The FDIC, which prides itself on predictability and consistency, is sending a strong message to the banking industry that the day of reckoning is almost at hand," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC. "Industry watchers have been expecting this moment as Florida - considered by many to be the epicenter of the U.S. housing crash - has had few bank failures to date."
Regulators have shut 57 banks since January 2008 with an estimated loss to the FDIC of $15.5 billion. Only four of the failed banks were headquartered in Florida - none in South Florida - compared to 11 seizures in Georgia and nine in California. A Florida credit unit has also closed by regulators.
The FDIC's bank seizure and asset sales office is scheduled to open in September with a combination of employees and subcontractors to oversee the process.
"Throughout its history, the FDIC has used these offices to keep temporary asset resolution staff closer to the concentration of failed bank assets they oversee," according to an FDIC statement. "As the work diminishes, the temporary satellite offices are closed."
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
The Federal Deposit Insurance Corp., which guarantees deposits of $250,000 at the nation's banks, plans to open a satellite office to be used by up to 500 people in the northeast Florida city of Jacksonville to spearhead the imminent seizures and eventual asset sales.
"The FDIC, which prides itself on predictability and consistency, is sending a strong message to the banking industry that the day of reckoning is almost at hand," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC. "Industry watchers have been expecting this moment as Florida - considered by many to be the epicenter of the U.S. housing crash - has had few bank failures to date."
Regulators have shut 57 banks since January 2008 with an estimated loss to the FDIC of $15.5 billion. Only four of the failed banks were headquartered in Florida - none in South Florida - compared to 11 seizures in Georgia and nine in California. A Florida credit unit has also closed by regulators.
The FDIC's bank seizure and asset sales office is scheduled to open in September with a combination of employees and subcontractors to oversee the process.
"Throughout its history, the FDIC has used these offices to keep temporary asset resolution staff closer to the concentration of failed bank assets they oversee," according to an FDIC statement. "As the work diminishes, the temporary satellite offices are closed."
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Sunday, May 3, 2009
US Bank Failure Losses Top $5 Billion In 2009
Federal regulators shut three more institutions on May 1, increasing the total estimated losses related to failed bank in 2009 to more than $5 billion, according to a report by Condo Vultures® LLC.
In 2008, regulators shut 25 institutions that resulted in total losses of between $10.4 billion and $14.9 billion, according to the report based on data from the Federal Deposit Insurance Corp.
"Our research indicates that taxpayers have lost an estimated $5.3 billion this year," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures®. "This means that taxpayers are losing about $1.33 billion per month or $11 million per day due to bank failures. Based on this pace, it is not difficult to envision losses in 2009 at least equaling those of 2008, which would put us in a range of $30 billion of bank failures in two years."
In the most recent seizures, regulators closed Silverton Bank in Georgia with assets of $4.1 billion, America West Bank in Utah with assets of $299.4 million, and Citizens Community Bank in New Jersey with assets of $45.1 million.
The trio of bank failures increases the total number of failed institutions to 32 in the first four months of 2009, according to Condo Vultures®.
In the first quarter of 2009, regulators shut 21 institutions with combined assets of $9.6 billion and deposits of $7.9 billion.
The estimated losses incurred with the first quarter closures are at least $2.3 billion, according to the report.
In the first month of the second quarter, regulators have already closed 11 institutions with combined assets of $9.7 billion and deposits of $7.6 billion.
Losses associated with these bank failures are estimated at $3 billion, according to the report.
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
In 2008, regulators shut 25 institutions that resulted in total losses of between $10.4 billion and $14.9 billion, according to the report based on data from the Federal Deposit Insurance Corp.
"Our research indicates that taxpayers have lost an estimated $5.3 billion this year," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures®. "This means that taxpayers are losing about $1.33 billion per month or $11 million per day due to bank failures. Based on this pace, it is not difficult to envision losses in 2009 at least equaling those of 2008, which would put us in a range of $30 billion of bank failures in two years."
In the most recent seizures, regulators closed Silverton Bank in Georgia with assets of $4.1 billion, America West Bank in Utah with assets of $299.4 million, and Citizens Community Bank in New Jersey with assets of $45.1 million.
The trio of bank failures increases the total number of failed institutions to 32 in the first four months of 2009, according to Condo Vultures®.
In the first quarter of 2009, regulators shut 21 institutions with combined assets of $9.6 billion and deposits of $7.9 billion.
The estimated losses incurred with the first quarter closures are at least $2.3 billion, according to the report.
In the first month of the second quarter, regulators have already closed 11 institutions with combined assets of $9.7 billion and deposits of $7.6 billion.
Losses associated with these bank failures are estimated at $3 billion, according to the report.
Peter Zalewski of Condo Vultures® can be reached at 800-750-0517 or by email at peter@condovultures.com Don't forget to sign up for our weekly Market Intelligence Report™ for detailed condo reports. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™. Our new books, the Official Condo Buyers Guide to Miami™ and Miami's Great Condo Crash: A Chronicle of the Boom and Bust™ are now available. Want to see every foreclosure filed in South Florida since 2007? Check out our Foreclosure Database™.
Copyright © 2009, Condo Vultures® LLC
Thursday, March 5, 2009
Proposed Downtown Miami Project Goes Into Foreclosure
The proposed seven-story Biscayne Lofts project located just north of Downtown Miami is being foreclosed.
TotalBank, a Miami-based bank with assets of $2.1 billion, filed the initial foreclosure paperwork, known as Lis Pendens, against the project's owner Biscayne Lofts Ltd. on March 2 in Miami-Dade Circuit Court.
Biscayne Lofts was proposed to be a new 15-unit project with 16,212 square feet built just east of Biscayne Boulevard at 333 NE 33 St. in Miami's artsy Biscayne Boulevard Corridor.
"Biscayne Lofts is one of the nearly 50 projects proposed for Greater Downtown Miami that was never built during the boom years of 2003 to 2010, when the last unit is scheduled to be completed," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC. "Overall, developers will have constructed 22,737 new units in a 60-block stretch of Greater Downtown Miami that is comprised of Biscayne Boulevard Corridor, Downtown, and the Brickell Avenue Area. In the 40 years before the boom, developer constructed about 11,500 units."
Biscayne Lofts Ltd. was to be built by Aventura-based Palen Development LLC, with members Jorge Sumbre, Susana B De Sumbre, Horacio D. Najlis, and Nora S Wolaj, according to the Florida Department of State.
Construction costs for the mid-rise condominium was projected to be $2 million, or $124 per square foot, to construct the 74-foot tall structure, according to the City of Miami.
The development group purchased the 7,820-square-foot lot for the project in June 2004 for $625,000, or $80 per square foot. The owners immediately obtained an 18-month predevelopment loan, with a six-month extension option, for $312,500 from the former Beach Bank in June 2004.
In December 2005 when the loan was scheduled to mature, the development group exercised its extension option through June 2006.
In March 2007, Biscayne Lofts refinanced the original mortgage and extended the debt amount to $370,000 with a loan from TotalBank.
At the time of refinance in 2007, Miami-Dade County assessed the property's value at $782,000, or $100 per square foot. In 2008, the county assesses the value of the undeveloped land at $625,600, or $80.
Peter Zalewski is a principal with the consulting company Condo Vultures® LLC and a licensed real estate broker with Condo Vultures® Realty LLC. Peter can be reached at 305-865-5629 or by email at peter@condovultures.com. Be sure to check out Peter’s blog at CondoDump.com. Don't forget to sign up for our weekly Market Intelligence Report. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ .
Copyright © 2009, Condo Vultures® LLC
TotalBank, a Miami-based bank with assets of $2.1 billion, filed the initial foreclosure paperwork, known as Lis Pendens, against the project's owner Biscayne Lofts Ltd. on March 2 in Miami-Dade Circuit Court.
Biscayne Lofts was proposed to be a new 15-unit project with 16,212 square feet built just east of Biscayne Boulevard at 333 NE 33 St. in Miami's artsy Biscayne Boulevard Corridor.
"Biscayne Lofts is one of the nearly 50 projects proposed for Greater Downtown Miami that was never built during the boom years of 2003 to 2010, when the last unit is scheduled to be completed," said Peter Zalewski, a principal with the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC. "Overall, developers will have constructed 22,737 new units in a 60-block stretch of Greater Downtown Miami that is comprised of Biscayne Boulevard Corridor, Downtown, and the Brickell Avenue Area. In the 40 years before the boom, developer constructed about 11,500 units."
Biscayne Lofts Ltd. was to be built by Aventura-based Palen Development LLC, with members Jorge Sumbre, Susana B De Sumbre, Horacio D. Najlis, and Nora S Wolaj, according to the Florida Department of State.
Construction costs for the mid-rise condominium was projected to be $2 million, or $124 per square foot, to construct the 74-foot tall structure, according to the City of Miami.
The development group purchased the 7,820-square-foot lot for the project in June 2004 for $625,000, or $80 per square foot. The owners immediately obtained an 18-month predevelopment loan, with a six-month extension option, for $312,500 from the former Beach Bank in June 2004.
In December 2005 when the loan was scheduled to mature, the development group exercised its extension option through June 2006.
In March 2007, Biscayne Lofts refinanced the original mortgage and extended the debt amount to $370,000 with a loan from TotalBank.
At the time of refinance in 2007, Miami-Dade County assessed the property's value at $782,000, or $100 per square foot. In 2008, the county assesses the value of the undeveloped land at $625,600, or $80.
Peter Zalewski is a principal with the consulting company Condo Vultures® LLC and a licensed real estate broker with Condo Vultures® Realty LLC. Peter can be reached at 305-865-5629 or by email at peter@condovultures.com. Be sure to check out Peter’s blog at CondoDump.com. Don't forget to sign up for our weekly Market Intelligence Report. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ .
Copyright © 2009, Condo Vultures® LLC
Saturday, February 14, 2009
Banks From Florida, 3 Other States Fail At Cost Of $341 Million
Regulators seized four banks with combined assets of $1.01 billion and deposits of $808 million in Florida, Illinois, Nebraska, and Oregon on Friday, Feb. 13, in moves that will generate estimated losses of $341 million for the Federal Deposit Insurance Corp.
This latest round of bank failures is comprised of Florida's Riverside Bank of the Gulf Coast with assets of $539 million and deposits of $424 million; Illinois' Corn Belt Bank and Trust Co. with assets of $272 million and deposits of $234 million; Oregon's Pinnacle Bank with assets of $73 million and deposits of $64 million; and Nebraska's Sherman County Bank with assets of $130 million and deposits of $85 million, according to the FDIC.
The seizures come a week after regulators shut three banks in California and Georgia with assets of $3.2 billion and deposits of $2.5 billion on Feb. 6 at an estimated cost to the FDIC of $452 million, according to a report from the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC.
For the year, regulators have closed 13 institutions with combined assets of $6.7 billion and deposits of $5.6 billion. The failed banks have been located in nine states (California with three failures, Florida and Illinois each with two bank failures) are estimated to cost close to $1.6 billion, according to Condo Vultures®.
In 2008, regulators shut 25 institutions from 13 states with combined assets of $374 billion and deposits of $234 billion. The estimated losses of the 2008 bank failures is between $10.4 billion and $14.9 billion, according to the report.
Peter Zalewski is a principal with the consulting company Condo Vultures® LLC and a licensed real estate broker with Condo Vultures® Realty LLC. Peter can be reached at 305-865-5629 or by email at peter@condovultures.com. Be sure to check out Peter’s blog at CondoDump.com. Don't forget to sign up for our weekly Market Intelligence Report. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ .
Copyright © 2009, Condo Vultures® LLC
This latest round of bank failures is comprised of Florida's Riverside Bank of the Gulf Coast with assets of $539 million and deposits of $424 million; Illinois' Corn Belt Bank and Trust Co. with assets of $272 million and deposits of $234 million; Oregon's Pinnacle Bank with assets of $73 million and deposits of $64 million; and Nebraska's Sherman County Bank with assets of $130 million and deposits of $85 million, according to the FDIC.
The seizures come a week after regulators shut three banks in California and Georgia with assets of $3.2 billion and deposits of $2.5 billion on Feb. 6 at an estimated cost to the FDIC of $452 million, according to a report from the Bal Harbour, Fla.-based consultancy Condo Vultures® LLC.
For the year, regulators have closed 13 institutions with combined assets of $6.7 billion and deposits of $5.6 billion. The failed banks have been located in nine states (California with three failures, Florida and Illinois each with two bank failures) are estimated to cost close to $1.6 billion, according to Condo Vultures®.
In 2008, regulators shut 25 institutions from 13 states with combined assets of $374 billion and deposits of $234 billion. The estimated losses of the 2008 bank failures is between $10.4 billion and $14.9 billion, according to the report.
Peter Zalewski is a principal with the consulting company Condo Vultures® LLC and a licensed real estate broker with Condo Vultures® Realty LLC. Peter can be reached at 305-865-5629 or by email at peter@condovultures.com. Be sure to check out Peter’s blog at CondoDump.com. Don't forget to sign up for our weekly Market Intelligence Report. Looking for a property at a deep discount? You are encouraged to take a peek at the Vultures Database™ .
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