Eastvale, Riverside County, CA
East of Hellman Avenue, south of Schleisman Road
Hearthside Lane is located in the newly incorporated City of Eastvale in Riverside County. Forestar acquired a loan from the FDIC secured by five model homes, two production homes and 134 finished lots. The City of Eastvale (formerly known as the Riverside Dairylands) is the most active new home market in the Inland Empire.
Hearthside Lane is a community that was started by Hearthside Homes and financed with a loan from IndyMac Bank. The FDIC took over IndyMac and auctioned the $29 million loan through DebtX. Forestar recognized the value in the collateral as one of the few remaining tracts of developed lots in Eastvale and was the successful bidder.
Forestar negotiated a settlement with Hearthside Homes whereby they quitclaimed the 134 finished lots to Forestar, stayed on title and built and sold the seven homes. The amount that Hearthside paid to Forestar for the seven homes significantly reduced Forestar’s basis in the remaining 134 lots.
Forestar sold the remaining lots to Meritage Homes and Beazer Homes and is continuing to manage the issuance of bonds under the approved CFD.