Wednesday, May 5, 2010 | 4:03 p.m.
- Bank responds to lawsuit over shopping center loan (6-3-2009)
- Lender, developer accused of wrongdoing over stalled project (5-14-2009)
- 8 investors look to join Aspen Financial lawsuits (5-11-2009)
- Insurer won’t cover legal fees in Aspen lawsuit (5-7-2009)
- Investors accuse lender of mismanaging funds (4-20-2009)
The Federal Deposit Insurance Corp. has initiated foreclosure proceedings on a Sahara Avenue office building in which former Gov. Kenny Guinn and his son Jeff are investors, In Business Las Vegas Television reported on Sunday.
The building at 7900 W. Sahara Ave., at Buffalo Drive, is owned by a company called Coronado Aspen II.
That company has breached a $4.72 million mortgage agreement backed by the property, the FDIC indicated in its notice of foreclosure filed April 13.
The building houses the headquarters of Jeff Guinn’s company Aspen Financial Services, a "hard money" real estate lender.
The building loan is one of several loans that are the subject of litigation pitting the Guinns, Aspen and fellow investors against the failed Community Bank of Nevada.
Since Community Bank of Nevada was closed by regulators Aug. 14, the FDIC has been winding down its business.
A federal judge on Tuesday signed an order granting a request by the parties that the litigation be stayed 180 days so the Aspen/Guinn claims against the FDIC and Community Bank can be mediated as part of an internal FDIC claims process. This extends an initial 180-day extension granted Dec. 24.
The lawsuit filed 13 months ago claims Community Bank broke a commitment to fund $2.8 million in tenant improvements needed at a Henderson shopping center and that this harmed the shopping center and the investors. The lawsuit also covers disputes between the investors and Community Bank of Nevada over several other loans, including the Sahara Avenue office building loan.
Asked for comment about the office building foreclosure filing on Monday, Aspen Financial Services attorney John Bailey of the Las Vegas law firm Bailey Kennedy said he couldn’t discuss specifics.
Bailey said in a statement: "While Aspen does not comment on pending litigation, it is very pleased to have received the highest rating from the Nevada Division of Mortgage Lending. It's business as usual at Aspen."