Related defaulted on the Base Village loan in April 2009, leaving Hypo and three other banks to foreclose and assume ownership of the unfinished project, which they did last year. Today, Hypo and Related are battling each other in court over the Base Village loan and various guarantees.
ASPEN REAL ESTATE – SNOWMASS VILLAGE – Attorneys for The Related Cos. have responded to charges in a lawsuit by its European lenders that it fraudulently moved $32.5 million tied to bonds issued by the Base Village metro districts from one corporate entity to another. An attorney for Related, Mark Walfish, of Katskey Korins LLP, filed an answer on Jan. 18 to a Dec. 28 lawsuit filed by the banks over the $32.5 million, which was loaned to Related by the banks to use as collateral against bonds issued by two Base Village metro districts that effectively function as one district. One of the banks is Hypo Real Estate Credit Corp., a subsidiary of Hypo Real Estate Group, a German bank that was nationalized by the German government after the 2008 financial crash.
By Brent Gardner-Smith, Feb 1, 2012, AspenJournalism.org
Credit: Snowmass Base Village Master Association