Property slated for town houses to be auctioned

October 15, 1991|By Timothy J. Mullaney

The ill-fated collaboration of two 1980s money-making machines will be put to rest Friday as the land for a proposed Baltimore County town house development goes on the auction block.

The auction at the county courthouse in Towson comes as a result of NVR L.P.'s default on a $15.3 million loan from the credit subsidiary of Westinghouse Electric Corp. for the Villages at Lyonsfield Run development in Owings Mills.

An NVR unit planned to develop the project jointly with Crown Development Corp. of Lutherville. But the project was hammered by the slow market for new homes and the weakened finances of NVR, a 1980s growth phenomenon that lost $260 million last year and has continued to lose money this year.

Douglas H. Poretz, an NVR spokesman, couldn't be reached yesterday. The phone at Crown Development Corp. has been disconnected.

Atlantic Auctions Inc. will try to sell off 231 subdivided town house lots and an additional 136.9 acres at Friday's auction. The additional land already has county approval for home construction.

Westinghouse said last week that losses on real estate lending by its Westinghouse Financial Services Inc. subsidiary, which grew at a fast pace during the free-lending 1980s, would cause 4,000 layoffs between now and the end of the year.

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