NRPI late on assessments

Monday, June 2, 2008

When National Recreational Properties, Inc. bought some 700 residential inventory lots in 2005 from developer Tom Dees, with Dees' assessment-waiver agreement extended to them to market those lots and Holiday Island, they also purchased more than 400 privately owned lots to market on their own. Those they had to pay assessments on.

NRPI has faithfully paid the required assessments for the last two years, District Manager Kevin Crosson told the Board of Commissioners at its May 28 business meeting -- until now.

"They have 462 lots worth $191,000 in assessments," he said. "They've been paying on the installment plan (three payments a year), but they didn't pay their assessment due in April. We have some concern."

He said office staff had made several calls to NRPI to find out their intentions, and they finally agreed to a conference call later that day.

"They said they are concerned about the mortgage crunch and the economic crisis," Crosson reported later, "and they want to explore alternatives."

Those alternatives will not likely include the district being willing to make all the lots assessment-free, Crosson said, and he is not sure whether that can even be done legally.

He said he is researching which of the 462 lots are original, assessment-free lots and which were purchased privately.

Under the district's agreement with the developer, foreclosed and quit-claim lots are given by the district to the developer, who must hold and pay taxes on them for two years. He is not charged assessments on them. Property owners have a chance to redeem foreclosed lots within that time. 

Crosson said NRPI assured him they are not trying to "walk away" from their obligation to Holiday Island. They are expected to come back with a proposal in the near future.

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