One house, three quick sales, one familiar link

One house, three quick sales, one familiar link

In late 2005, Barbara and Gregory Klein agreed to sell their St. Petersburg home for $535, 000 to a man who had seen their “For Sale By Owner” sign.

But when the Kleins sat down to complete the deal, their copy of the closing statement showed a different buyer – and a sale price of $599,000. In less than a year, the house changed hands twice again, each time at a price $50, 000 higher than the previous one despite the sluggish market.

All three transactions involved Victor Clavizzao, a loan officer whose suspicious real estate deals and lengthy criminal record were the subject of a St. Petersburg Times story April 29. After the story ran, the Kleins were among several readers who contacted the paper to share their experiences with Clavizzao.

Developer was mole for feds [Chicago]

Developer was mole for feds [Chicago]

John Thomas bought and sold downtown office buildings and helped other property developers secure multimillion-dollar mortgage loans.

But the high-living dealmaker had a double life.

Thomas, who was convicted of federal business fraud in New York in 2004, has been serving as an undercover government mole in Chicago for at least a year as part of an ongoing federal investigation into fraud in the financing of large-scale commercial real estate deals, the Tribune has learned.

Records made public so far do not identify the targets of the federal probe, and the FBI and U.S. attorney’s office declined to comment for this article.

Peebles sues for control of Royal Palm [South Florida]

Peebles sues for control of Royal Palm [South Florida]

Don Peebles sold off most of the Royal Palm three years ago. But now he’s suing to take over the South Beach resort, saying management is ruining the hotel.

Three years after giving up control of the Royal Palm Hotel in a sale, R. Donahue Peebles is fighting to take charge of the resort again.

The Coral Gables developer retained a 12 percent stake in the South Beach hotel when he sold it to condominium converter Robert Falor and partners in 2004. Now Peebles wants his company installed as the 417-room hotel’s manager, accusing Falor of ”gross negligence” in running it — including a $12 million loss last year amid record revenues for South Beach’s lodging industry.

”Falor Group has miserably failed,” Peebles’ lawyers wrote in a Miami-Dade civil suit asking a judge to put Peebles in charge of the hotel or appoint a trustee to run it.

Woman looks to diversify nest egg out of real estate

Woman looks to diversify nest egg out of real estate

As she watches the Florida real estate market soften around her, Susie Hurst is getting nervous.

The 59-year-old former teacher had thought that rental income from several properties she had accumulated over the years would fund her retirement.

But higher insurance costs (the result of hurricanes), taxes and upkeep expenses have turned her cash flow to negative of late. She recently took out a home equity line to cover the shortfall and is considering going back to work. She also is thinking about selling off some of her $1.5 million real estate empire, which consists of a four-unit apartment building, a duplex and a small home adjacent to her own Orlando residence.

The higher costs have reached the point that her net proceeds from the properties this year is projected to amount to just $25,000, while her personal expenses are almost $54,000.

1 in 11 in Volusia, Flagler at millionaire status [Florida]

1 in 11 in Volusia, Flagler at millionaire status [Florida]

They’re rich, but not famous, and that’s the way they like it.

One of every 11 households in Volusia and Flagler counties has achieved millionaire status, a study has found, while 1 in every 128 has made it to the $5 million level. Research by TNS Financial Services in New York analyzed residents’ net worth — the value of their property, investments and other assets after subtracting their debts.

People who hobnob with the area’s wealthy said they aren’t surprised the two-county area is now home to more than 21,000 millionaire families. But they said most rich people are hard to spot because they still lead unobtrusive middle-class lives. Here’s a sampling of their observations:

Gary R. Libby, retired director of the Museum of Arts and Sciences, Daytona Beach

Normans’ Jupiter Island estate could fetch $30M [South Florida]

Normans’ Jupiter Island estate could fetch $30M [South Florida]

In the midst of their stormy divorce, Greg and Laura Norman’s 7-acre Jupiter Island mansion, Tranquility, has hit the real estate market and could fetch as much as $30 million.

If it’s not featured on the Realtors’ multiple listing service now, it will be shortly, said John Scarola, Laura Norman’s attorney.

Greg Norman’s attorney, Martin L. Haines, would not confirm the home is for sale, but said no “issues” in the divorce are completely settled.

According to the Martin County Property Appraiser’s Office, the home is valued at $22 million. But several local Realtors who specialize in luxury real estate say the “magnificent” home could sell for closer to $30 million.