LAS VEGAS, NV— Within a one-week period late last month, locally based mortgage-lender Vestin Group and its subsidiaries foreclosed on two hotel loans reportedly valued at more than $28 million in total. According to reports carried in the pages of the Las Vegas Sun, following the company’s June 19 foreclosure notice filed against Castaways Hotel, Casino and Bowling Center here, another newspaper— the Honolulu Advertiser— ostensibly reported the company similarly filed a June 25 foreclosure lawsuit against the Aston Waikiki Beachside Hotel. It was pointed out both of the foreclosures also involved co-lender Owens Financial, a California-based investment firm. Prior to these recent actions in Las Vegas and Hawaii, Vestin was reportedly holding millions of dollars of real estate for sale following similar foreclosure proceedings, according to filings with the U.S. Securities and Exchange Commission (SEC). In fact, it was noted that— as of Mar. 31, Vestin Group was purportedly holding 10 properties valued at $8.7 million that it acquired through foreclosure proceedings. Also as of March 31, Vestin Fund I— a subsidiary investment fund— was said to have reported holding another seven properties acquired through foreclosure valued at $21.5 million. For the same period, Vestin Fund II— another subsidiary fund— was similarly said to be holding seven properties for sale, valued at $17.4 million. SOURCE: Las Vegas Sun
