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IPFS News Link • California

LA Mansion Once Set for $500 Million Price Tag Is in Default

• https://finance.yahoo.com, John Gittelsohn

An $82.5 million loan for "The One," a 100,000-square-foot (9,300-square-meter) home built by developer and film producer Nile Niami, is delinquent, according to Don Hankey, who advanced the money in 2018 and filed the default notice.

The debt on the property, which has yet to go on the market, has climbed to $110 million, with unpaid interest, he said.

"Not only myself, but other people he owes money are trying to force him to list the property," Hankey, a Los Angeles financier whose biggest source of lending is subprime auto loans, said in an interview.

Niami didn't respond to email messages seeking comment on the default, which was reported earlier by the Los Angeles Times.

In the worst case for Niami the lender can foreclose and repossess the property. The developer started construction on the project in 2013, part of a wave of speculative Los Angeles mansions built by developers with lofty price expectations that have often proved unrealistic.


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