BajaNomad

Loreto Bay Quits

rockman - 6-7-2009 at 04:38 PM

The following was received by Loreto Bay lot owners :

Breaking News: Loreto Bay Baja resort, unable to find new buyer, suspends operations
by Clinton Stark on Saturday, June 6, 2009

TSD Partners today informed homeowners that all operating and construction activities on the Loreto Bay project will be suspended. The announcement follows months of speculation regarding a potential new buyer for the financially struggling development.

Launched in 2004, the original vision called for a 5,000 unit mega-resort with walkable seaside village homes located along the Sea of Cortez, and 20 minutes from the small fishing village of Loreto in Baja California Sur, Mexico. In 2007, Citibank invested in the project bringing needed capital and management resources.

A combination of the global economic downturn, the real estate crisis, banking failures and the continual deluge of negative headlines related to Mexico�s escalating drug wars appear to be contributing factors.

The homeowner email is below. StarkSilverCreek will carry updates, along with editorials on the project, and what may happen next, along with advice for homeowners.


(this is the email sent to homeowners):

Loreto, BCS, June 6, 2009

Dear Homeowners,

TSD Loreto Partners, S. en C. por A. de C.V. (the �Company�) regrets to inform its clients and stakeholders that, due to the challenging situation in the international real estate and financial markets, all operating and construction activities for Loreto Bay (the �Project�) will be suspended.

To assist in securing new equity funding and a long-term suitable buyer for the Project the Company hired Cushman & Wakefield. Several potential buyers and investors have visited the Project over the last few months, yet in the context of the current economic crisis and credit shortage, the Project has been unable to secure a buyer or new investor.

We regret to inform you that until new funds are secured, as of June 7th, 2009 all hospitality related operations will be suspended and as of June 8th, 2009 all construction related activities will be suspended.

Please note that all homeowners with a home under construction, and all other homeowners will receive further information as it becomes available.

Best regards,

Embree C. �Chuck� Bedsole
Interim President
TSD Loreto Partners, S. en C. por A. de C.V

[Source: email sent to homeowners, also available at the Loreto Bay News web site]

comitan - 6-7-2009 at 04:40 PM

rockman

Your post is a Little late its already being trashed.:O:O

[Edited on 6-7-2009 by comitan]

BajaNomad - 6-7-2009 at 06:14 PM

http://forums.bajanomad.com/viewthread.php?tid=39108