Lender foreclosing on Chesterfield development
EVA RUSSO/TIMES-DISPATCH
The wooded lots of the planned Hampton Farms development are on Hull Street Road in Chesterfield County’s Moseley area.
Published: August 19, 2009
Updated: August 19, 2009
Lender BB&T is foreclosing on Hampton Farms, a 38-lot development in western Chesterfield County.
Approved by the Chesterfield Board of Supervisors in 2004, the project is on 38 acres on Hull Street Road near Beaver Bridge Road in the Moseley area.
The developer has built the roads and installed water and sewer lines but saw no interest from homebuilders.
"With the economy, you just can't sell a lot," said developer Gary T. Jennings of Hampton Farms Development Corp. "Just bad timing."
BB&T floated a $2.07 million loan in 2006 to fund the project, according to court records. A legal advertisement in yesterday's edition of the Richmond Times-Dispatch gave notice that the property will be put up for public auction Aug. 27.
Questions about the foreclosure e-mailed to BB&T representatives were not returned yesterday.
The auction will be held at 10:30 a.m. on the steps of Chesterfield Circuit Court, 9500 Courthouse Road. A cash deposit of 10 percent of the sale price will be required at the time of the development's sale.
In May, a similar auction was held for nearby Lower Magnolia Green, an under-construction development in Chesterfield where 3,550 homes and a mix of commercial uses are planned for 1,898 acres.
The lender foreclosed on the property after declaring the loan in default.
No one bid on the project, which went back to the bank -- New York-based iStar Financial -- for the $52 million opening bid. It then assumed ownership and said they plan to continue to develop the property.
Contact Wesley P. Hester at (804) 649-6976 or
.
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Reader Reactions
oneuser, “hy not get a job in a profession that does not depend on the taxpayer to pay for the damage done by a new subdivision.“
oneuser, I guess you live in a tree-house with no running water etc. Was you house built by paleo-americans tens of thousands of years ago? Did you carve you home out of a cave with no development of the land?
Or, is it ok for you to live in a house but not others. How do we know you paid your fair share when you built or bought the house you live in.
I’m sure some old fogey was complaining about your house being built, whenever that was, but I guess that turned out alright for you.
mikeyt, Again you play the same broken developer/builder record. Why not get a job in a profession that does not depend on the taxpayer to pay for the damage done by a new subdivision. Hopefully Chesterfield will read my plan to raise the tax coffers to a fair amount that will put the cost of these houses square on the backs of the developer/builder. I see now that you think you are a bank manager for BB&T as well. Insults are childish so get out of your sandbox and get a real job. Crying and whining will not hide the truth. The truth is: Just like the dinosaurs, all these greedy developer/builders time has run out and so has the free ride.
oneuser… again, learn something about development before you try to discuss it.
If no one bids on the project BB&T will keep it and try to find a buyer on its own. At $2 million it would cost BB&T more to try to bankrput the developer than to sell it themselves. And since banks aren’t in the business of bankrupting people even if the deal was $52 million like Lower Magnolia Green they still wouldn’t “go after” the developer.
Of course, considering banks simply are not lending money to developers right now, it may be a while before they fdind a buyer and the county will have to change the proffers to allow smaller homes to be built there before anyone buys it.
And when you consider a development takes between 3-4 years to go from conception to approval in Chesterfield, and that no project goes through that process without enormous change, no one is “rubber stamping” anything.
I’ve read your posts in other subjects and you’re not stupid but when it comes to development you’re dumber than dirt. Either learn about it or don’t discuss it. You sound like an i-d-i-o-t when you discuss it now.
I hope BB&T will go after the developers assets if the auction does not give them all their loan money back. This is good news hopefully the board of stupidvisors. Will not rubber stamp any more over development in the county.
This is an awfully small project. Are you saying that there aren’t other larger projects in the Richmond area that haven’t suffered a similar fate?
I understand why Lower Magnolia Green made the news. Not sure why this did.
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