Montalbano Builders of Arizona or Montalbano Homes has been a builder in Arizona for numerous years, involved in several projects more recently such as Travata in Peoria and Tartesso in Buckeye.
In January, the Arizona Department of Real Estate put out in its AZ Homebuilders in Trouble report that Montalbano Homes had a mechanics lien filed against it regarding its Travata development.
Is Montalbano Homes Out of Business or Bankrupt?
However, this may not be the latest with regard to the home builder. It is not fully clear, but Montalbano Builders of Arizona or Montalbano Homes may have shut its doors permanently.
Their website is unavailable which is not reassuring (http:www.montalbanohomes.com). The only phone number I could find goes to a generic message (doesn’t mention who I am calling) which I am not sure if it is even correct. I came across a comment on the web indicating that their numbers are disconnected but I can’t verify given I don’t know if the number I have is even correct (website not operational).
Complaints Against Montalbano Builders of Arizona
Now the Arizona Registrar of Contractors indicates 3 open complaints against Montalbano as seen here.
The open complaints are considered ‘non-pays.’ In other words, the complaintants indicate that Montalbano has not paid them for services or materials provided. These companies are Labor Systems, VW Dig, and a Dean-Peterson LLC.
I spoke with one of these companies and was told that the non-payment goes back over 1 year. I don’t know the specifics of any dispute in charges if there is one here, but generally, it’s not a good thing to have outstanding issues with sub-contractors. In this case, the non-payment was turned over to a collections firm long ago.
I’ve got other calls out to get more information here and will update if I hear back. For the moment, it appears to me either that Montalbano simply has folded though there may be other issues here.
What It May Mean for the Montalbano Homeowner
The challenges here for homeowners in Montalbano communities are any possible loss of home warranty coverage. Though homeowners may be able to get warranty relief through a sub-contractor (assuming they can identify the contractor that Montalbano hired out), this is dependent on that sub-contractor still being in business.
I wrote about Trend Homes Inc some time ago where even the sub-contractors were out of business which meant that homeowners were out of luck.
The other issue is to the extent that a community under construction is finished out. Uncompleted homes or vacant lots interspersed in a community is bad for existing homebuyers and will adversely affect the value for their homes. Until a new builder acquires assets and builds on these properties, the communities can often be in limbo. As such, buyers are hard to attract and HOA fees could increase to compensate for the lack of homes in the development.
What It Means for the Home Buyer in Process
For homebuyers currently in process with a contract, this may be a sticky issue as earnest monies may be at risk if not held by an independent third-party title company. Call the title company in this case immediately to see if they have any further information and what next steps you can take if Montalbano is out of business.
What It Means for the Prospective Home Buyer
Simply, a home buyer should be very cautious when considering a home here. Assuming that the sales offices close, then the issue becomes one of buying a home in any unfinished community. Understanding the full impact of any issues with Montalbano Homes in the community is always recommended by talking with community residents.
Summary
The Phoenix real estate market has been hard on home builders, especially the smaller ones who lack the resources to sustain themselves through such a protracted downturn. Montalbano Homes appears to be another one of its victims.
Nonetheless, homeowners and home buyers should act quickly to understand what any possible demise of Montalbano homes means for them as there are risks and potential impacts to both groups.
If you have further questions regarding Montalbano Homes, feel free to contact David Lorti at (480) 227-6911.
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{ 55 comments… read them below or add one }
Yes Montalbano homes is out of business. My sister-in-law used to work for them and friends who still did got an email last week saying effective immediately the company was shut down and that they would not receive their final pay or accrued vacation.
We live in the MONTALBANO HOMES Nantusket Cove Site in Beecher Illinois.
60401 Postal Code. How will this effect the homeoner association. Will the bank
or liquaditor sell the remaining properties as a unit, ” Nantusket Cove Site in Beecher Illinois” !!! Will the Village of Beecher or Washington Township create
a Special Assesment District if the Association is dispanded. We currently pay $ 147.00 assesment a year. Do you think MONTALBANO HOMES pays added money beyond what we pay for the homeoner association cost. Some of this information is in our warrenty book. It is not clear info. If you could respond with insights, thank you. John D.
John,
Thanks for your email.
Some of the questions you pose would be beyond my ability to answer given my expertise being in the Phoenix real estate market and your questions being specific to your area there.
I will try to answer what I expect might happen with a community in general that is affected.
In an unfinished community where the builder goes bankrupt, part of what happens initially will be whether the builder filed Chapter 11 bankruptcy protection or simply has folded altogether. Chapter 11 is filed when the builder is hopeful to reorganize and reemerge from hardship. However, the builder may not reemerge and assets can dissolved when this is determined.
When a community is unfinished, I would expect that the assets (individual lots) would be sold more as a block as opposed to piecemeal. First, it would be more difficult to sell individual lots rather than the lots as a block to a potential investor or builder. So, my expectation is that once the properties are put on the market, if they are priced sufficiently low, another builder may come in and purchase the assets, looking to complete the development at a profit.
That next builder may build homes that are comparable or less so. It is hard to know. The properties will have to sell at a price and market attractiveness that will justify a new builder coming in.
Regarding a HOA in this case. If the community is uncompleted and there is a formal HOA set up, then existing homeowners may see their HOA fees rise to adjust for the lack of HOA dues coming in for the unfinished properties. Common area maintenance and any other amenities have to be taken care of regardless of the number of homes in the community.
If there isn’t an established HOA at that point or if the HOA was somehow getting funding through the builder partially, then homeowners may see an increase here as well to account for this. I would imagine that the fees that were explained to you for the HOA (aside from an initial capital infusion that you may have provided at purchase) will continue in the short term but that any contribution that Montalbano was making will now have to be adjusted for.
Overall, it’s hard to know. If I could make one recommendation, it would be to call any HOA contact you have and ask for financials on the HOA and what their expectation is for fees going forward. You should also ask if there are designated representatives of the community who represent the HOA Board (the HOA board, made up of members who live in the community, would contract out a HOA management company for the day to day operations and management of funds) are meeting to discuss the issue.
I believe you can expect no impact in the short term as these issues get fleshed out, but I would expect higher HOA fees in the future. I hope this helps.
HI ,
I HAVE A QUESTION MY HOME WAS IN THE FINAL STAGE AND IT IS NEWS TO ME THAT THE COMPANY FOLDED. HOW DO I GO ABOUT FINDING OUT WHO HAS MY EARNESY MONEY? MY COMMUNITY WAS IN COOLIDGE, AZ HEARTLAND RANCH THE CROSSINGS….NOW I KNOW WHY I WAS GETTING THE RUN AROUND FROM THE BUILDERS.
Hi David,
I was trying to find out anything I can about Montalbano Homes in Illinois. I am in the process of building in one of the sub-divisions when yet another delay. Montalbano contacted me and said that build is still on but need to reapply for funds from bank that froze them from all new construction. I am to the point that I need to know for sure any information so I can move on and get my life back. This is my first ever build and not sure what steps to go through. Any information would be greatly appreciated. Thank You David.
Elizabeth-
I would recommend first looking at your contract with Montalbano to see what it indicates with respect to where your earnest deposits would be held. If the earnest money was to be held by a third party title company, then I would contact that title company for more information. If the earnest was to be held by Montalbano Homes, then I would try contacting your local sales office at (520) 723-1300 (I believe that’s the sales office) and talking to the salesperson there if they return calls. It isn’t clear as to the actual legal status of the company in terms of default. You can also look at your bank records to see to whom the check was written.
If you don’t find any resolution, you can contact the Arizona Department of Real Estate Developmental Investigations at (602) 771-7750 to talk to the state about your situation. They may or may not take any action other than advise you of your rights.
You may also want to talk with a real estate attorney as to your rights and options as well here.
Bill-
I can’t really speak to anything that would be happening in Illinois with Montalbano Homes. I would suggest talking with a Realtor or real estate attorney who works the immediate area where you are to help you find out more about what is happening and your options. I would also suggest talking with the Montalbano sales office (not just the sales person but also their manager and anyone else at a higher level who can definitively answer your questions to your satisfaction).
I hope this helps.
My wife and I live in Algonquin. We have no complaints about our home. But due to wear & tear we are trying to find out the manufactorer of our shower enclosure. As you can imagine, there are no markings at all on the parts.
John-
Thanks for your message. This is often the case. Finding out product manufacturers for specific aspects of your home is often difficult. As well, builders don’t always let the buyers know what sub-contractors worked on the property unless it is a specific component such as the air conditioner.
Believe it or not, from a resale perspective, I would say that 95% of the pools I see have no contractor medallions or other identifying marks as to who built the pool! So, it seems to be a common practice in general.
Good luck with the shower enclosure and thanks for your comment!
If a home was listed in Queen Creek the Skyline Ranch Estates as a short sale, then the property was cancelled because it is now going into foreclosure - how do I find out which lender has the listing. Also, the lots remaining in this same subdivision - how do I find out how to purchase the lot?
Jan-
The tax records will show who actually owns the property once the foreclosure has taken place. Before this point, cash buyers do have an opportunity to bid on the property at the public trustee’s sale (foreclosure auction) but this isn’t without risks. Once the property does foreclose, the tax records will be updated to reflect the current owner. If you would rely on financing, then a custom MLS search specifically set on the property address you are interested in would alert you as soon as that property came on the open market. Let me know if you would like that set up.
You can access tax records at the Maricopa County Recorder’s office - http://recorder.maricopa.gov.
As for the lots, this is likely more complex. The tax records may indicate who actually owns the lots and if so, you could contact that party as to potentially selling the lots. This may be a more difficult challenge in terms of getting to the right decision-makers and being able to acquire them.
Hello,
I have a contract for the home we were buying in Harvard,il we did give them several grand as earnest money but on the check they cashed we put down it was for the Lot. They did not start building yet do you think we can put a lein on the lot.
My adviser said they have not files for chap 11 or what.
Justin-
This is a great question and I don’t have an answer here as this crosses into real estate law. A competent real estate attorney in your area could give you a clear answer as it would depend on real estate laws in your particular area. I would certainly look to pursue this and as quickly as possible. A lien would give you leverage. However, depending on any future bankruptcy filing, you may or may not ever be satisfied financially here. So, the lien on the lot is a very interesting aspect here but definitely call a real estate attorney in your area.
We gave Montalbano earnest money back in January & hav been askng for it since February. We have been given the run around as to there would be several closings & that money will be issued after the closings are completed. We were also told that our earnest money would be placed in account that would draw interest. Then when we confronted the sales associate at the Lynwood office we were told that everyone was laid off & that the owner from the Oakbrook office gave her a list of names who to distribute monies to after closings. This is ridiculous. This is July and we haven’t received monies yet nor has anyone been in the Lynwood sales office & definately no answer at the Oakbrook office. What do we do at this point?
I am also experiencing issues with Montalbano Homes in the Illinois area. I am owed refund in tax money for the year I was not in the house which they were under contract to pay. (Taxes are in arrears in IL and homes are not evaluated then for a year when new construction so it could not be credited during the sale but was written up for them to pay once it arrived in the contract.) I have tried receiving these funds from them since October of 2008 when I received the bill. They have never denied owing it - just gave me the run-around with paying it. As of today, I have still received nothing despite all of my efforts and even contacting the Better Business Burea which ultimately closed the case b/c Montalbano would not respond to the complaint. It’s very frustrating. I had planned to take them to Small Claims Court but if they are out of business, I don’t beleive that will help. I’m now stuck with a huge bill.
NB-
I am very sorry to hear of the circumstances here with respect to your dealings with Montalbano Homes. I would suggest you contact a real estate attorney to see what your options might be here. However, depending on the amount of your loss, this may or may not make sense to do. I would suggest you locate a ‘Registrar of Contractors’ (not sure what it would be called there) which is the body in the state that authorizes contractor licenses and file a complaint there if possible. Also, you should look into whether you can file a lien against Montalbano’s holdings or whether winning in Small Claims Court could provide the basis by which you get a lien placed against them for some possible retribution in the future. Good luck here. Again, sorry to hear of your circumstances.
One additional note here. There are going to be a lot of homeowners and buyers who get burned here. However, most will not take the issue to the extent of Small Claims Court or other civil court to pursue their claims. As such, the question becomes one of “If I took this all the way, would I possibly have a case to get retribution for?” There are likely going to be a number of creditors and others looking for money and assets from the company. However, understanding where any lien or judgment places your claim could mean the difference between worth your while and wasting your time. I hope this helps.
We live in Arizona, we also have not been able to get in contact with anybody. We were unable to complete our year walk through. We have many items in our home that need repaired some repairs extreme. The trades are not following through with the work due to not getting paid. We are surrounded by empty lots and half built homes when buying our home we were told we would have completed homes next to us this is not the case. At this time we are left with a home that needs lots of repairs and left with a house in a big dirt filled and random poured concrete for homes. Is there anything that we can do about this. We were first time home owners buying our dream home and now we don’t have the complete dream home. Please advise.
Hi,
First, I am very sorry to hear of what you are dealing with. Often, homebuilders try to sell you on living in a ‘community’ with all of the warm aspects that go with that. However, many fail to deliver and in your case, it sounds as if Montalbano failed to deliver you everything that was communicated upfront when you bought the home.
Regarding the contractors not completing the work, I would suggest contacting the Arizona Registrar of Contractors and talk to them and file complaints as needed to get action taken.
Though I don’t have a crystal ball, what may happen here is that eventually the land will be sold through bankruptcy auction to a new developer at firesale prices. This will be key to allow that new developer or builder to construct new homes on the lots to sell at a profit. However, this could take up to a few years and is dependent on improvement in your immediate area to justify construction starts.
The value of your home is impacted by the issues you mentioned which is unfortunate and not anything you ever would have signed on for. Hopefully, new build construction will take up in your area in the near future and begin to alleviate that.
Thanks for your comment and again, I’m very sorry to hear of your circumstances.
As a home owner in Illinois, beyond the maintanence concerns, I am also concerned about the liability insurance coverage for our community. As we have open ponds there is some theoretical risk. Comments?
Kim-
If there is a Homeowner’s Association in place here, I would contact the Board or HOA servicing company for possible information on this. If that is no help, then one would have to assume that there is no coverage here in case of mishap. Perhaps there is an organization in Illinois (Insurance commission?) that could point you in the right direction to determine if there is any coverage in place here.
HELP! We live in the Nantucket Cove Subdivision in Beecher, IL. I have been trying to contact Montalbano since May 27, 2009 with no success. Our village cannot reach them and our 3rd party homeowner’s association property management company cannot reach them. Our subdivision is in an absolute state of disgust. The weeds in the empty lot next to my house are over 6 feet tall in some areas. It has become a breeding ground for snakes and mice and ticks. We love our home but know that it is now not worth half of what we paid for it and our neighborhood is an absolute embarrassment. Does anyone out there know anything about what is going on? I am planning to get together as much information as I can over the next two weeks and then drive up to their corporate office in Oak Brook sometime next week.
Please email me at Jules0203@yahoo.com if you have any information regarding Montalbano. Thanks!
Dennis and Julie-
Sorry to hear about your situation there. I can only imagine this must be frustrating.
I have had a call in the past whereby a resident was trying to get other residents together to push this forward as a collective effort. However, I didn’t hear anything more after leaving a voicemail (I no longer have the phone number).
I can’t speak to specific real estate aspects given I am not licensed there. However, I would suggest speaking with a real estate attorney to find out what your options here are. It may be worthwhile to talk with neighbors who might be willing to go in on the cost of the consultation as they have a vested interest in it as well. However, even if they don’t, I would recommend your talking with an attorney there.
You might also try contacting a local news organization to see if they would have interest in writing or covering this in any way.
I came across this attorney on the web though I have no experience or relationship with this person…http://www.thebusinesslitigators.com/lawyer-attorney-1395961.html
I tried to find a real estate blog by a Realtor in your area that could become a ‘meeting point’ for local residents but did not find any focus here. However, given the number of people who are looking up Montalbano Homes, feel free to post comments here in the hopes that others will read them and possibly contact you (there are a number of people doing what you are doing so I believe a message here will have some benefits if you include contact info).
I believe others would benefit from your doing so and wanting to talk further.
If Montalbano Homes has filed for bankruptcy, is it possible to hire a lawyer to pull them out of bankruptcy?
Thank you for your post.
If they have indeed filed for bankruptcy, this will be a matter for the courts to decide. This is also dependent on the type of bankruptcy and the local and national laws that cover bankruptcy protection or liquidation in each state.
My fiancee and I put earnest money down on a house in Montalbano Homes’ Windsor Ridge community in Joliet, IL, from March-June. We have been given the run-around and have most recently been told that the banks will not release money to them to start building. They claim to have until next April to start the house before we can ask for our money back. So it’s either wait or lose everything we put down so far. We are in the process of looking at real estate lawyers to see if someone can help us get our money back so we can move on. With the instability of the company and the current condition of the neighborhood, we really have no interest in the house anymore. If anyone has any other advice or other resources it would be greatly appreciated. Thanks.
Kristen-
I think you are taking the right approach in talking with a real estate attorney in your area. As well, read through the contract you signed for the language that Montalbano Homes has referenced that says you can’t get your money back until April. Ask them for the copy if you can’t find it.
As well, a piece of advice is to stick with your principles in terms of any efforts you undertake to get money back. Be willing to go further than other people as many won’t pursue this to a conclusion.
Montalbano Homes is the assumed name for Montalbano Builders, Inc., an Illinois corporation. Does anybody know if this Illinois business is closed down? If it has filed a bankruptcy case somewhere in the United States? The Registered Agent and President is Anthony Montalbano of Oak Brook Terrace. Any solid information would be appreciated.
Mike-
I came across the following link…
http://www.trollerbk.com/portal/?module=intro&c=36A69281-09CC-FBFD-49A52B1049494DE7&showcase=1
This is a service that may have legal documents for Mr. Montalbano. However, I can’t attest to what they may have at all given it is a pay service.
I am a builder in the Phoenix area, do you have any information on who the lender is for Montalbano in Arizona?
Alec-
I don’t have any information on that but believe this is a worthy avenue to pursue. If I come across anything, I will be sure to post it.
On August 19th 2009 Anthony P Montalbano filed personal bankrupty
Some details of his bankrupty were posted in Crains Chicago Business
I bought my home in Feb 2008. I moved in 1 month later, and on THE FIRST DAY, the pwr blew in one of 4 bedrooms, AND in the kitchen. a series of other things also began to go wrong. The company sent out the mgr for the builders and was told he would send out someone to fix the power that blew. He did and the kitchen was repaired however the bedroom pwer still has issues. He said of the other issues “just put them on a list, cause when your year inspection comes up, you can get it all fixed then” I am a 1st time home buyer/builder, and didn’t know the foolishness of that statement. I have had to funnel my owen funds into the repairS and am in forclosure now due to the facts of falling behind to repair these broken things. Did I mention that as time went on some of the floors were becooming VERY uneven in some rooms, both carpeted and tiled rooms, and the calking was separating in many areas. As a 1st time home builder this nightmare has taught me a great deal and my credit report can attest to this. I am disgusted with Montalbano homes and how they have conducted their business. Shame on them. and Now shame on me for having this money pit, and what looks like a serious fall on my creditreport and character. the worst part is 1 of my sons is in a wheelchair and Montalbano’s sellers knew this and yet sold me the home anyway.
Can anyone tell me what I can do?
Disgruntled in Phoenix.
Sarah-
Your best bet might be to contact the Arizona Registrar of Contractors and the Arizona Department of Real Estate to file complaints. Talking to a real estate attorney is also advised though I realize that an attorney is not cheap by any stretch of the imagination. Perhaps you can find a group of homebuyers that may be interested in pursuing combined legal action.
Sorry to hear of your travails with Montalbano Homes. There appear to be a lot of homeowners very unhappy with them at the moment.
Suburban homebuilder Montalbano files for personal bankruptcy
By: Eddie Baeb Sept. 16, 2009
(Crain’s) — Prominent homebuilder Anthony P. Montalbano Sr. filed for personal bankruptcy protection last month, just days before he was hit with a $34.4-million foreclosure lawsuit from his largest creditor.
Mr. Montalbano, president and CEO of Oakbrook Terrace-based Montalbano Builders Inc., listed assets of less than $10 million versus liabilities of more than $100 million in the Chapter 11 case, which was filed Aug. 19 in U.S. Bankruptcy Court in Chicago.
Among the list of Mr. Montalbano’s 20 largest unsecured creditors are 16 different banks, to whom he personally guaranteed loans totaling about $150 million, according to the filing.
Five days after the bankruptcy filing, RBC Bank filed a foreclosure lawsuit in Will County seeking $34.4 million on loans for various subdivisions in the exurban Chicago area and Arizona along with a master revolving line of credit and a letter-of-credit note.
The suit names Montalbano Builders and Mr. Montalbano as defendants along with various related ventures.
RBC Bank, a Raleigh, N.C.-based subsidiary of Royal Bank of Canada, claims in the suit that it declared the loans in default last September, because Montalbano failed to make interest payments and violated certain loan covenants.
Mr. Montalbano, 62, didn’t return calls seeking comment.
The attorney for Mr. Montalbano in the bankruptcy proceeding and RBC’s attorney in the foreclosure both say the developer is working with the bank to resolve the matter.
“They have a plan, and they’re going to try and get through it,” says RBC’s attorney William Mitchell, a partner in the Chicago office of Meltzer, Purtill & Stelle, LLC. “I think they are continuing to work toward an amicable resolution of the situation.”
Mr. Montalbano’s attorney, Howard Adelman of Chicago-based Adelman & Gettleman Ltd., says Montalbano is trying to sell some of its land.
“Mr. Montalbano is going to do everything reasonably possible to successfully resolve these matters with his creditors,” says Mr. Adelman.
But sales of the land Montalbano controls – mostly undeveloped or partially developed tracts on the exurban fringe – are among the most difficult deals to pull off these days in the wake of the housing and credit bubbles. Land prices in the exurbs have cratered as few believe demand will return there any time soon.
“The land market right now is brutal,” says Dan Flanagan, president of Flanagan Realty LLC in St. Charles, who several months ago was working with Montalbano to market some of its local properties. “There’s just nothing happening, and there’s still a huge bid-ask spread between sellers and buyers.”
In the RBC foreclosure, there were developments in four local municipalities: south suburban Matteson in Cook County; Beecher in Will County; Harvard in McHenry County; and Cortland in DeKalb County.
The other two were in the Arizona towns of Peoria and Coolidge, according to Mr. Mitchell, RBC’s attorney.
Mr. Montalbano was a carpenter who founded his homebuilding firm in 1976, according to his “construction entrepreneur of the year” award in 1989 from accounting firm Arthur Young.
A profile of him that year in the Chicago Tribune says Mr. Montalbano “dresses in stylish suits and drives a red Mercedes convertible,” and that his specialty in the mid- to late-1980s was acquiring distressed housing developments.
In 2004 and 2005, Montalbano cracked Builder magazine’s list of the 100 largest U.S. homebuilders, ranking 93rd and 95th those years, with revenue peaking at $232 million in 2005. The company had 90 employees in 2007 and revenue of $114 million, down 40% from 2006, according to Crain’s list of the Chicago area’s largest privately held companies.
Based on 2006 revenue, Montalbano ranked as the 21st largest local homebuilder, according to a separate Crain’s list published in 2007. The company had local revenue of $92.8 million in 2006 and $188.5 million of revenue nationwide that year, according to the list.
The housing market’s crash has taken a big toll on many homebuilders. In May, Streamwood-based Kirk Corp. became the third suburban homebuilder here to file for bankruptcy protection after Neumann Homes Inc. and Kimball Hill Inc. Mr. Montalbano is the second local residential developer to file for personal bankruptcy.
In June, Evanston condominium developer Thomas Roszak also filed for protection from creditors.
Flanagan Realty’s Mr. Flanagan says small, private homebuilders are particularly vulnerable these days because they rely more heavily on banks for financing.
“Virtually every private homebuilder is severely challenged,” he says. “I can’t think of any one of them that’s truly safe.”
K & T-
Thanks for this article! I am going to republish it on the site so that others affected here will see it.
I worked for Montalbano Builders in the 80’s He was a great builder building custom homes with very high quality. Tony is a very good guy I’m sure many people do not feel that way. Here in Chicago we have had 4 major builder go bankrupty in the last 6 months. I’m sure Tony will get this all worked out, I wish him luck
Greg
HI I PUT EARNEST MONEY DOWN, 1000 IN SABLE RIDGE I AM UNABLE TO GET ANY RETURN PHONE CALLS FROM MONTALBANO HOMES. ANYONE HAVE ANY IDEA WHAT TO DO. THANKS
William-
Unfortunately, it seems many people are running into the same issue with no effective recourse. Keep up efforts to try and find someone who can help here and let us know if you have any success.
This has been a very informative site. My husband and I live in a Montalbano development in Avondale, Az. which is unfinished (. We have had no services for over a year, and like so many others, could get no answers. We have gotten very little cooperation even from our management company who appeared to have known what the situation was for quite some time, but didn’t share with the community. We do now have a community board, but are trying very hard to put everything back on track. If anyone has any suggestions or helpful hints, we would greatly appreciate it.
I wrote to you previously and would like to kind of update you. Montalbano Homes is in major financial difficulty here in Illinois so one can only assume the position they are in at there Arizona location. They have been foreclosed on here in Illinois and finally filed for Bankruptcy protection. If you had put money down, you might as well say good bye or get in line behind all the sub-contractors to have any legal recourse. The phone numbers are not answered,the websites all gone and the bank is selling all the properties. I surely feel bad for a company that had such a good reputation, go out so quick with no dignity os decentsy to let there customers know they have split with there hard earned money.
I worked for Montalbano HOMES AND WAS LAID OFF. I NO THE COMPANY WELL AND THE TRUTH OF THE MATTER IS THAT THEY ARE NOT OUT OF BUSINESS THEY ARE RESTRUCTURING THE COMPANY AND ANY AND ALL EARNEST MONEY WILL BE RETURNED OR HOUSES STARTED I WOULD THINK. ALSO THEY ARE STILL FINISHING EXISTING HOUSES MOST OF THE BANKS ARE STILL WORKING WITH THEM AND ALSO THEY HAVE FAITH IN THIER RESTRUCTURING THEY DO NOT WANT TO TAKE BACK THE COMMUNITIES THAT THEY HAVE STARTED BANKS ARE NOT IN THE BUSINESS OF BECOMING HOME BUILDERS OR LAND DEVELOPERS MR MONTALABNO IS A WELL RESPECTED BUSINESSMAN. I KNOW CUSTOMERS ARE AGRAVATED AND I KNOW SOME OF YOU HAVE BEEN WAITING ALONG TIME TIME FOR ANSWERS BUT BE A LITTLE MORE PATIENT AND IM SURE YOU’LL GET THE ANSWERS YOU NEED TO HERE AS SOON AS THEY GET THROUGH WITH THE NEW BUSINEES PLAN THEY WILL GIVE YOU THE ANSWERS OR CUSTOMER SERVICE YOU BEEN WAITING FOR I HOPE THIS HELPS SOME OF THE PEOPLE THAT HAVE CONCERNS. THIER IS ALOT OF THING TO FINISH UP AND ONLY A FEW PEOPLE LEFT IN COMPANY WRITE NOW THAT THEY CANT KEEP UP WITH THE DEMAND OF CUSTOMER SERVICE WRITE NOW THEY WILL CATCH UP SOON AND HIRE MORE PEOPLE ONCE THEY GET THROUGH THE ROUGH TIME I WORKED FOR THEM FOR OVER 20 PLUS YEARS AND HOPE THINGS GET BACK TO NORMAL SOON AND ALSO HOPE I WILL BE ABLE TO RETURN TO THIER COMPANY SOON IT HAS BEEN A PRIVLEGE AND HONOR TO WORK FOR THIS COMPANY!
Hello every one; Me and my wife live at the Montalbano Home Nantucket Cove Site in Beecher Illinois for the last 2 1/2 years. Our house is completely completed. the mumorious issues were taken care of by Montalbano Homes of Illinois. Even with all the issues with the home and that were taken care of, We feel the home is well built. I cannot say that as far as what many other people feel regarding their Montalbano Home here at Nantucket Cove. I HAVE SOME Q’S,
WOULD LORTI HOMES HELP US ANSWER IN ORDER TO HELP US OUT. EVEN IF IT’S ONLY TO CAST AN OPPINION. Here is some general info about our site; est 42 home built, 32 occupied by families - est 85+ people living on site, 135 undeveloped lots, 1 show real estate model office, 2 models up for sale 195k, 3 speck homes - deep discount unfinnishe interiors, 1 high end home up for sale, 1 repo up for sale 195k, 2 other homes up for sale, all homes have lost est 1/3 value currently, no change in market conditions expected, the state of Illinois is trying to build a large regional or national airport 3 1/2 miles from our complex - we are 3 1/2 miles from the end of two parallel runways for block 1 & block 2 of their plan, the FAA will choose 1 out of 5 sites the second half of next year, Gary Indiana is the other leading site - the Mayor of Chicago is backing that site, The Govenor of Illinois is backing the site near our home. Private interest have put up 300m for the Peotone site - near our home, the State has put up 175m for the Peotone Site. HERE IS MY FEW Q’S THAT I HAVE;
A) Has the Parent Corp, Montalbano declared bankrupsy - 7- 11 - 13.
B) has the Corp Illinois Subsidiary Montalbano declared bankrupsy - 7 - 11 13.
C) Can you, Lorti Homes tell us were to fined this type of info.
D) Tony Montalbano may have declared personal bankruptsy - Crains News ?
E) Are Montalbano Homes - Parent Corp or the Illinois subidiary trying to
reorganize. Will the banks back a losing team with all of those banks assets and
their investors and depositors assets. Does that make sense !!!
F) Will you at least provide the info on were to find this info out and cast an oppinion. Thank you.
John J. Dell Aquila.
Hello Mrs & Mr X; John D.
CC; Nantucket Cove Neighbors.
Thank you for passing this along. xx xxxx has xxx flue shot and her H1N1
shot at the x of x already, xx first responders. I do not. I will go to the
xxxx xxxx HS on the 11th in the AM for the H1N1 shot. Thank you for the info.
Tony Montalbano. is in court trying to complete a chapter 11 reorganization filing.
I do not see how he can do this. He may be personally is responsible for over
135M in personal and corporate debt. This guy and the people around him
have a lot of hutzpa, Nerve. There are 16 banks involved. As far as I know
the Montalbano Corp has not filed yet. I think that is emanate!
What about the 16 banks depositors and investors and the public money
involved in this obviously Toxic Assets, 135M, and regulators. I think there is no limit to the outrages conduct of developers, banks and others at the expense of everyone. They, Montalbano is a losing corporation and a losing corporate leadership that needs financial chapter 7 liquidation proceedings. They have no right to continue as an ongoing business corporation. Sounds like an Amicus Curiae Brief, Friend of Court is needed in US Federal Court regarding Tony Montalbano and Montalbano Corp.
Nothing new on the Airport or the FAA and any possible Federal FAA Public Hearings Regarding the Peotone Airport. I still think it is not too late to file a class action suit in US Federal Court to stop this airport. This would only be contingent
on a critical mass of people participating from; Beecher, Monee, Peotone and
Steger. This would take at least 500 to 800+ people to make sense.
The approximate 7 sq miles, 4500 acres, 640 acre’s per sq mile,
is not nearly large enough for this airport. They need a 5 mile on all sides of the airport noise suppression and security zone. We are 3 1/2 miles from the end of the 9,500 ft runway that will be expanded to over 12,000 ft after blocks 1,2 & 3 is completed. The home owners in that 5 mile zone around that proposed airport will take egregious financial hits on their homes - valuations due to the proximity of the airport to our homes. The State of Illinois and their Private Interest Partners have no right to adversely and torsionaly effect our homes.
I am looking at finding legal counsel on a contingent fee basis that may take
such a case and the forming a PAC, Bipartisan Political Action Committee
to fight these entities. Keep in mind the FAA will decide after June 2010
from the two of five leading sites, Peotone - State and Private Interest,
Gary Ind - The Chicago Mayor and the Ind & Gary Interest.
The State of Illinois through IDOT Dep is fas tracking this process.
We hope the Mayor of Chicago prevails in his bid for the Gary Ind Site.
Let me know if you hear anything Ms X. Have a good week ahead.
John D.
How does the Bankruptcy change our HOA? Were are not fully developed in Gleneagle Trails, Matteson and Montabano Builders made our HOA decisions which is managed by Avenue 1000 Realty. I have gotten the continual run around that “It is not in the budget,” and that I need to contact the bulder for answers. 7 messages later and still no response. My home is for sale and the subdivision looks like garbage. We have had little to no maintenance over the last two years. No replenishment of mulch, or replacement of dead bushes. I’ve suggested I pay for these items myself and be credited on my account, to which I was told no. Most of my neighbors have stopped paying their fees since were not getting the services we were promised. I am current. What are we to do???
We live in the Wellington Court subdivision in Lynwood, we stopped paying hoa fees because no maintenance is being done here either and we were paying for a park that does not exist! We were served with eviction papers from Avenue 1000 Realty for an unpaid balance of $636. There has got to be some fraud going on because where is our money and whom has control of it. How is a hoa association allowed to evict us from our home, where does this madness stop!!! We need to start filing complaints with the Illinois Attorney generals office, someone needs to be held accountable. Where is Anthony Montalbano? We are also getting screwed on our taxes, something needs to be done and soon!!!!
We live in the Gleneagle subdivision a Montalbano subdivision in Matteson ,IL. and received a bill from Avenue 1000 reality HOA , We have been paying a grounds maintenance contractor to cut weeds and brush behind our house because HOA stop cutting behind house, We didn’t want mice or any small animals close to our house, can We deduct the cost from our HOA dues for the cost of having another grounds maintenance contractor do Avenue 1000 reality HOA’s job or do we need to take them to small claims court for the money?
David,
Kudos to you on your blog…. It has some very interesting information and underscores the unscroupulous buisness practices Montalbano Homes, Inc. I am also in a development of Montalbano Homes in IL . Our Management HOA is Avenue Realty 1000 who almost doubled our annual HOA assessment which the homeowners are unhappy about since their operating budgets are suspect and inaccuarate.
In summary, our HOA has been run by Montalbano and they have acted as the Board. Our HOA has not been turned over to the homeowners yet and our subdivision has not been completed. I fell it will never be completed since Montalbano has filed for Chapter 11 Bankruptcy protection on 08/19/09. In my opinion, since Montalbano has filed for bankruptcy, they have given up the right to represent the homeowners of our association or any association for that matter, and that the homeowners should move to hold an election and vote on a new Board based upon the members of the community. Would you agree??
I would also love to see what options there are in eliminating the HOA altogether and letting the munipality take responsibility. I would appreciate any input.
Thanks in advance.
does anybody live in chesnut grove? i am going to file suit against avenue 1000 realty. i went to go pay my unpaid hoa fees and they wanted to charge me another $631. my lawyer is going to supena their costs for “mantience” costs that are obvisouly bull. the city of cortland has a town hall meeting tomorow to get an update on a sham of a neirborhood. if anyone wants my guys info or want to be in on the suit let me know furio8685@yahoo.com