Posted on Thursday, November 11, 2010
The rough couple of months for Delray Beach developer Anthony Pugliese III got worse on Nov. 4, when Great Florida Bank filed a foreclosure lawsuit over his planned Coconut Creek apartment project. The Miami Lakes-based bank (Pink Sheets: GFLB) named Pugliese and his St. Lucie Industrial Properties in the lawsuit over the 13.6-acre site at 5401 Wiles Road. He receive approval for 198 garden apartment units there this year, but no construction took place. Getting construction funding is difficult in this struggling real estate market.
Pugliese did not immediately return a call seeking comment.
His company bought the site for $4.5 million in 2005 and obtained a $3 million mortgage from Great Florida Bank. In 2008, when the market was already turning downward, the bank increased the loan to $3.4 million.
The mortgage was last modified in May with a July 5 maturity date.
Miami attorney James N. Robinson, who represents Great Florida Bank in the lawsuit, could not immediately be reached for comment.
Pugliese supports construction of the 41,300-acre Destiny project in Central Florida, but he had a falling out with his business partner, Subway founder Fred DeLuca, and that plan is on hold.
In October, another company managed by Pugliese was hit with a $14 million foreclosure lawsuit over a Coconut Creek storage facility. That came after PNC Bank won a $4.7 million judgment against Pugliese and his companies over a stalled project in Sebastian and a separate $919,490 judgment against a site in Martin County. SFBJ