Fifth Third works to turn around troubled Florida loans

Fifth Third works to turn around troubled Florida loans

The more Mike Trombley heard about the Cay Club development in Clearwater, Fla., the more he liked the idea of investing in it.

The sales pitch he got in late 2004 was the clincher: Buy now and get in on a luxury 5-star resort featuring renovated condos, a private water park, a marina, a spa and a shopping mall packed with high-end retail stores.

Investors say Cincinnati’s Fifth Third Bank offered them 100 percent loans requiring no money down, and the developers promoted a lease-back program that allowed buyers to pay nothing for the first two years.

And then there was the appeal of buying property in Florida, where real estate prices were steadily shooting up.