A luxury motorcoach development in east Lee County, Fla., is being sued for foreclosure by its lender for $7.8 million, according to The News-Press, Fort Myers.
First American Bank filed the lawsuit Monday (May 24) in Lee Circuit Court against Golden Palms Motorcoach Estates and its developer, Harp Development.
The 54-acre Lehigh Acres project built around a 22-acre lake was started in 2007 and is still under construction, said sales manager Richard O’Connell, who said Tuesday he wasn’t aware a foreclosure had been filed.
Construction was delayed for six months when county officials said the “casitas” – small houses on each lot – had to be slightly smaller than planned. “We had to go back to square one.”
Still, O’Connell said, Harp has five or six Golden Palms units under contract.
Harp is also the developer of Cypress Woods RV Resort off Luckett Road near Interstate 75.
According to the bank’s lawsuit, Golden Palms of Lee County LLC borrowed the money in a note and a revolving line of credit in April 2007 but is now in default on both.
When complete, Golden Palms will have 97 lots – 75 of them lakefront. The lots are 55 by 110 feet, according to the project’s website.
Golden Palms of Lee County bought the property in May 2005 for $956,052 from Willow Point of Lee County Inc., according to county court records