What led up to the bank taking over the Enterprise units

Positively Palermo was asked to provide a history of what led up to a bank taking control of 34 condos at Palermo Palm Springs in 2010. Here is a timeline:

May 5, 2010: The developer misses a payment on the Palermo loan.

July 14, 2010: "Notice of Default" served on PS Venture Indian Canyon/San Rafael LLC. This is the Palermo LLC of the Enterprise. It owes $13,450,378.36 on a $30 million loan. The document states: "No sale date may be set until three months from the date of this notice of default may be recorded." That would be Oct. 14, 2010.

July 19, 2010: Five days after the serving of the "Notice of Default," Palermo residents first learn of Enterprise's troubles. Two Enterprise executives on the board — HOA President Ron Shipka Jr. and HOA Treasurer Gordon Camaresi — resign from the HOA board. They say in an e-mail that they "expect to lose interest in the property in the next 30 days."

Aug. 18, 2010: Crain's Chicago Business publishes an article titled, "Shipka sued over personal loan guarantees." The story by Thomas A. Corfman states that Ronald Shipka Sr. is being sued by MB Financial to collect $4.7 million on loans for two Palm Springs housing developments. The article reports: "In the larger of the two cases, MB Financial is seeking to collect $3.1 from Mr. Shipka, who guaranteed a portion of a construction loan used to build a townhouse project ... Called Palermo, only 117 of the proposed 211 units were completed, according to a Web site for residents of the development."

Oct. 14, 2010: The three-month period from the July 14 posting of the "Notice of Default."

Oct. 21, 2010: Crain's Chicago Business reports on more lawsuits against Ron Shipka Sr. One lawsuit concerns the nearby Murano Palm Springs development that Enterprise California also was building. The article states: "Combined with two cases filed in August, the Chicago-based bank is aiming to collect $7 million."

Nov. 9, 2010: The front doors of the 34 units owned by Enterprise are posted with a "Notice of Unified Trustee's Sale." The documents state an auction may be held on Nov. 30 in Corona.

Nov. 30, 2010: Group auction of the 34 condo is delayed until Dec. 13 to give time for a "settlement conference the parties are organizing."

Dec. 13, 2010: The bank auction of the 34 units is called off once again. Bank eventually moves the units in the LLC it owns.

Miss Penny Lane says: It all seems like ancient history to her.