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Another real estate deal Jim McConville used to bolster his credentials when trying to buy condos in bulk in North County has fallen into major trouble.
The mess at the 106-unit Stonemark Homes, a condo conversion complex in east-central Fresno that McConville mentioned in this 2008 letter to San Diego County developers as he was arranging these deals, was featured in this television story aired in Fresno last night.
KSEE Channel 24 in Fresno, the city’s NBC affiliate, reported the story and included some footage from Cox Channel 4 and NBC 7/39 in San Diego, our media partners:
The majority of the listed owners on the project are from Northern California, and are all connected to the project through a company called Stonemark Asset Portfolio — one of McConville’s many companies, the station reported. Many of the owners of multiple units had the same address listed on property records as the seller.
The story quotes Fresno-area appraiser Carin Lane, who became involved in the project when an insurance company hired her to investigate. More from the story:
Records show McConville’s company bought the units for $150,000 then sold them a few months later for an additional $75,000.
Lane said, “Stonemark Asset Portfolio is selling the properties for $225,000 — way too much — to people in the Bay area and their address is “Canyon Heights”, the same address as Stonemark. So, we’re going, the seller sold to a buyer with the same address for way too much money? Something’s not right here.”
Many of the owners of condos in this complex are also listed as owners on McConville’s other properties around the state, the station reported.
I spoke to Lane’s husband, David, last week. He said yesterday that 100 of the 106 units in the complex are in foreclosure.
The prices paid by McConville’s buyers are much, much higher than what the units could sell for now.
One two-bedroom unit has already been listed for sale as a bank-owned home. The asking price: $37,500.
For more on the other McConville projects, visit the home page for A Staggering Swindle, our special investigation.