Large number of foreclosures in Grand County come from same bank, official says | SkyHiNews.com

Large number of foreclosures in Grand County come from same bank, official says

Tonya Binatbina@skyhidailynews.comGrand County, Colorado

With 173 foreclosures in 2008 and a growing list of 43 in 2009, Grand County is seeing record levels. Theres been a large number of foreclosures in Grand County, and from the information we are receiving, it seems New Frontier is in the neighborhood of 40 percent, said Grand County Commissioner James Newberry. According to county documents, New Frontier has on its books many individual loans based in Grand County, several in communities where pockets of home buyers are in foreclosure. New Frontier is the bank to which the Federal Deposit Insurance Corporation (FDIC) issued a Cease and Desist Order on Dec. 2 for among other reasons, operating the Bank with an inadequate level of capital protection for the kind and quality of assets held by the Bank, and for failing to prevent unsafe and unsound banking practices and violations of laws or regulations. Developments stemming directly and indirectly from New Frontier loans include a sub-community of Rocky Mountain Estates outside of Grand Lake, homes within Granby Ranch and Innsbruck-Val Moritz developed by Upstreet Developments, LLC, as well two in Winter Park Ranch, such as a three-building townhouse neighborhood called The Hills at Winter Park Ranch. The Hills project was abandoned by its developers who had been associated with Upstreet and a building company formerly called American Dream Seminars, or ADS Builders, Inc. of Broomfield leaving homebuyers in foreclosure. In response, New Frontier Bank pledged to the county it would finish the project. Grand County currently holds a $120,000 letter of credit with New Frontier to ensure infrastructure improvements at The Hills. The units are slated to be completed by this upcoming summer per the subdivision improvement agreement, according to Grand Countys planning department. Two messages left with Greeley New Frontier Bank executives on Tuesday were not returned by press time. To read more about New Frontiers cease and desist order, log on to the story that broke the news at The Greeley Tribune: http://www.greeleytribune.com/article/20090131/NEWS/901319969&parentprofile=search. Related and follow-up stories are also found on the Tribune site. Tonya Bina can be reached at 887-3334 ext. 19603 or e-mail tbina@skyhidailynews.com.

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