It's prime residential land at Charles Street and Bellona Avenue in Towson. But the 30-acre parcel, which was to be part of a luxury town house development known as the Cloisters at Charles, is scheduled to go on the auction block Feb. 14.
Signet Bank began foreclosure proceedings on the property Nov.22 after the developer, Faust Homes Inc., defaulted on a $4 million loan secured by the land.
In early September, Faust lost another 10-acre parcel in the development when it defaulted on an $8 million loan from Loyola Federal Savings and Loan.
Signet refused to comment on its plans for the 30-acre Cloister parcel, but Loyola said it is pushing ahead with the development of its 10-acre parcel.
"We think it's a good project."said Thomas Marvel, Loyola's executive vice president.
After Loyola foreclosed on the Cloisters property,the S&L formed a joint venture with Howard County-based Williamsburg Homes to complete the first phrase of the subdivision. Nine town houses have been completed out of 48 that are planned.
The first units on the joint venture's property sold for $500,000 to $600,000;the new units are expected to sell for $300,000 to $375,000, Mr.Marvel said.
"We're in the process of finalizing the drawings at this point. We should have a sales office open within two weeks, and construction will begin on model units by mid- to late February,"he said.