Neo Assets business entity filed for bankruptcy<\/a> in a last-ditch gambit to ward off a foreclosure.<\/p>\nThe gamble might pay off, temporarily, anyway. CTBC Bank is willing to delay a foreclosure proceeding, a Feb. 26 bankruptcy court filing by CTBC shows.<\/p>\n
In the filing, CTBC sketched out a series of failures by the apartment hub\u2019s owner to pay back the financing that the lender provided for the property.<\/p>\n
The original financing was intended to serve as a construction loan for the residential project.<\/p>\n
The developer failed to complete the project\u2019s construction on time. The developer sought more time and money to complete the apartments, as well as more time to repay the loan. The apartments were completed and opened to tenants sometime around mid-2021.<\/p>\n
\u201cNeo Assets could not get the job done and requested not one, not two, not three, not even four, but over seven more extensions of time,\u201d CTBC Bank stated in its filing.<\/p>\n
The bank granted even more concessions and extended the maturity date of the loan to May 2025. Yet by the time the loan matured, the project\u2019s owner still wasn\u2019t able to repay the loan, despite the many delays and forbearances.<\/p>\n
\u201cNeo Assets requested another, this time the eighth, extension of time,\u201d CTBC Bank stated in the court filing. \u201cWith just three more months, this time the debtor really could repay the bank, or so it said. And the bank believed the debtor.\u201d<\/p>\n
However, the loan remained unpaid despite the next maturity date passing.<\/p>\n
\u201cHaving had more than its fill for a loan that should have been repaid in 2019, the bank began foreclosure proceedings,\u201d CTBC Bank stated in the court filing.<\/p>\n
Now, the lender has proposed a plan for reduced payments for an unspecified number of months to give the owner of the apartment complex more time to find a buyer for the residential property.<\/p>\n
\u201cThe debtor (Neo Assets), which believes its property is more than sufficient to pay the bank in full and which began marketing the property before the bankruptcy filing date, gets the opportunity to prove it\u2019s right,\u201d CTBC Bank states in the filing.<\/p>\n
CTBC said it would hold off on immediately pursuing a foreclosure. The bank also demanded monthly operating reports to ensure the property owner was collecting and handling rents properly.<\/p>\n
\u201cThe debtor obtains a ninth chance to repay the bank,\u201d CTBC Bank stated in its court filing.<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"SAN JOSE \u2014 The owner of a San Jose apartment complex that\u2019s weighed down by a failed real…\n","protected":false},"author":2,"featured_media":115259,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[29],"tags":[184,387,7,8,3010,1335,4978,383,1011,1337,1533,181,23,100,388,88,90,89,5406,198,200],"class_list":{"0":"post-246733","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-san-jose","8":"tag-bay-area","9":"tag-business","10":"tag-california","11":"tag-california-news","12":"tag-commercial-real-estate","13":"tag-development","14":"tag-downtown-san-jose","15":"tag-economy","16":"tag-housing","17":"tag-housing-development","18":"tag-keywee","19":"tag-latest-headlines","20":"tag-local-news","21":"tag-news","22":"tag-real-estate","23":"tag-san-jose","24":"tag-san-jose-headlines","25":"tag-san-jose-news","26":"tag-san-jose-real-estate","27":"tag-santa-clara-county","28":"tag-south-bay"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/246733","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/comments?post=246733"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/posts\/246733\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media\/115259"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/media?parent=246733"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/categories?post=246733"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ca\/wp-json\/wp\/v2\/tags?post=246733"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}