1994 Dallas S, Ltd (aka Dallas Alley and Lamar 2000)
Dallas, Texas
In late 1994, The Shopoff Group acquired a pool of 125 defaulted
commercial mortgages from The Resolution Trust Corporation (RTC). This
portfolio consisted of loans backed by properties in Texas and Louisiana.
The acquisition was structured with The Shopoff Group acting as the managing
partner of a joint venture between our investment partners, Credit Suisse
First Boston and the RTC. This unique investment structure allowed us to
create an excellent investment opportunity.
This property is one example of how we deal with the assets in this type of portfolio. Among the loans in this portfolio was a loan secured by a retail property located in the most popular entertainment district of downtown Dallas. The Shopoff Group team of specialists was unable to work out the loan with the debtor, so they foreclosed the loan on the property and obtained ownership. The primary tenant was one of the most popular nightclubs in the district. The asset management team was able to resolve several conflicts with this tenant. This not only created a better working relationship with the tenant, but also ensured they would stay in the building. This approach helped to significantly enhance the value of the property.
Following these efforts, our team successfully marketed Lamar 2000 (Dallas Alley) and sold the property.
The balance of the portfolio was also a major success story, with The Shopoff Group’s team of specialists having to employ varied plans for different assets that included resolving several loans, pursuing deficiencies where applicable and foreclosing the assets where necessary. We like to say that this portfolio, in addition to the usual assets such as land, apartments, office building and industrial buildings, also includes everything from churches to bowling alleys. The emphasis was always on meeting the goal for the particular asset in the time frames originally created, but also having flexibility and creativity to get the job done. This was one of our most challenging portfolios and we took a certain amount of pride and satisfaction in the job that was done.
This portfolio took persistence, perseverance and a skill set that demonstrated how well we could work as a team. It also put this group on the national map of being one of the few small firms chosen to do this level of work for large institutional partners.
Investing in The Shopoff Group limited partnerships involves a high degree of risk,
including the possible complete loss of your investment. In addition to being an illiquid
investment with an uncertain liquidity date, these investments may have other risks.
The past performance of any of The Shopoff Group's Limited Partnerships is no guarantee of
future results.
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The Shopoff Group
Corporate Headquarters
114 Pacifica, Suite 245
Irvine, California 92618
Main: 949–417–1396
Fax: 949–417–1399