Former KROQ Owner Ken Roberts Losing Home In Battle With Hedge Fund
September 27, 2010 at 4:25 AM (PT)
Former KROQ/LOS ANGELES owner KEN ROBERTS has landed in the news by losing his home, the 112-acre ROBERT TAYLOR Ranch in L. A.'s BRENTWOOD district, to a hedge fund that loaned him money to buy the property.
FORBES' TERI BUHL is reporting that ROBERTS is turning the keys to the property over to RIDGEFIELD, CT hedge fund NEW STREAM CAPITAL, which he says made him the loan with the intention of ultimately seizing the property.
The ranch, one of the most expensive properties for sale in AMERICA, has been on the market for $56 million. ROBERTS ran into trouble when he could not refinance the loans taken from NEW STREAM; the NEW STREAM loan, $28 million in principal, began with a 16.5% interest rate and escalated to close to 31% with late fees and a sliding default scale after a four-year legal fight. ROBERTS alleges that NEW STREAM is making "loan-to-own" deals that are designed to force its borrowers into default so that it can take the properties.