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Showing posts from March 21, 2010

Vietnam Town Foreclosure?

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Last week,  East West Bank initiated the foreclosure process of Vietnam Town shopping mall on Story Road in San Jose.  The currently half-finished retail mall is own by TWN Investments.  The development was first announced with fanfare in 2002.  The principal of TWN Investments, Tang Lap (middle of picture),  presold the retail condonium development to buyers at $300/ square feet in 2002 and up to $500 /square foot in 2006.  There were about 185 units for sell.  The development was supposed to be completed 2007.  Buyers were asked to deposit 1/3 of the money up front.  The idea was to use the deposits as part of the equity for the construction loan. 

Tang Lap claimed to have sold most of the units.  However, in early 2007, somehow, he ran into finanical problem and could not paid his general contractor, Reeve-Knight Construction, and the interest payment on the construction loan from East West Bank.  The value of the project dropped in 2007 and there was not enough equity to cover th…

Homeowners Signed Demand to Banks

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Homeowners In Action, a local grassroots movement which was formed in response the public outcry against unfair foreclosures and loan modification practices, yesterday organized a town hall meeting at Martin Luther King Library in downtown San Jose. During the meeting attended by about 300 people, many frustrated homeowners who had applied for modification of their mortgages while facing the possibility of foreclosure described to an appalled audience the agony of going through an convoluted process without knowing whether or when they would lose their house.

Many of the people attended eagerly submitted their stories in writing and signed a document titled “Demand for Improvement in Loan Modification Process: Good Faith, Fairness, Transparency and Effectiveness”, available on the group’s website at http://tinyurl.com/ygwym5u. The group resolved upon a collective demand to various banks for an improvement of the loan modification process and for fair business conducts.

Six volunteer a…