Following Camden County Court Judge Sherri L. Schweitzer declaration of "no more excuses, no more pity," the sheriff has just now sold a 82 unit multi-family apartment complex in Stratford Borough known as the Cornell Manor Apartments.
The building was owned by a Lakewood based company which - as first reported here on FAA News - is involved in a massive ponzi scheme affecting numerous Lakewood area residents, as well as investors from across New York, New Jersey, and Ohio.
At the very same time that the Lakewood company notified Iowa State officials that they could no longer afford the nursing homes they purchased 2 months prior, they also stopped paying the monthly mortgage for the Cornell Manor apartment building they purchased for $9 million just several months prior.
In response, as previously reported here on FAA News, back in June 2023, the bank filed in New Jersey Superior Court, Chancery Division in Camden County for a foreclosure proceeding.
According to the lawsuit:
The Lakewood based company, under the names Cornell Manor LLC, Five Star Store It Mason LLC, Five Star It Ohio I LLC, took out a $9,183,000 mortgage for their purchase of the property on July 18, 2022.
The Mortgage Note provides that the property owners are to pay interest only payments in monthly installments beginning on September 1, 2022 and continuing every month 24 months until August 1, 2024 when the balance of principal and interest would be due and payable.
The property owners have failed to make the full monthly installment payments since January 1, 2023.
At the first court hearing, New York Attorney David J. Goldsmith Esq. representing the property owners pleaded, "the only thing going on here are "internal disputes" which will likely be resolved in the coming weeks. We feel that everything will be resolved soon and a foreclosure trial will not be necessary.
Judge Schweitzer agreed not to immediately appoint a receiver. However, your "differences" and "internal disputes" are simply not a reason for this property to be placed at risk, and not paying taxes is a significant risk," Judge Schweitzer warned.
Just a month later, the bank ran right back to court, again seeking to seize the apartment building on the basis that the mortgage bills continue to not get paid.
Originally, Mr. Goldsmith filed opposition to the motion, however, amazingly, just days later, he notified the judge that he learned that his opposition filing "contained inaccuracies," and therefore he was withdrawing his opposition.
At that point, shaking her head in bewilderment, Judge Schweitzer granted the bank's motion to appoint a receiver to take over management of, and eventually sell the building.
Sheriff Whip Wilson has just now completed the sale of the property.
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