“Now.”
Naomi sighed.
“Coffee?”
“After.”
Within twelve minutes, the asset file appeared on Victoria’s office screen.
Mercer Auto Works.
Property address.
Loan originated eight years earlier through Lakeview Community Bank.
Original principal: $410,000.
Balance: $287,412.
Loan sold twice.
Eventually bundled into a distressed commercial portfolio Hale Meridian purchased nine months earlier at fifty-eight cents on the dollar.
Victoria read faster.
Borrower fell behind after medical and operating expenses.
Restructuring discussions initiated.
Then terminated.
Foreclosure accelerated.
She frowned.
“Why was restructuring terminated?”
Naomi scrolled.
“Special assets manager recommendation.”
“Who?”
“Marcus Vale.”
Victoria leaned back.
Marcus Vale.
Executive vice president.
Real estate opportunity group.
Smart.
Aggressive.
Profitable.
He had joined Hale Meridian four years earlier.
He specialized in extracting value from underperforming assets.
That phrase suddenly sounded uglier than it had yesterday.
“What’s the property valuation?”
Naomi found the number.
“Current as-is: eight hundred ninety thousand.”
Victoria stared.
“That garage?”
“Land value.”
“Why?”
Naomi opened a map.
Then understood.
“Oh.”
“What?”
“Redevelopment zone.”
Victoria stood.
The Mercer property sat in the middle of a seven-parcel block less than half a mile from a planned transit modernization corridor.
Hale Meridian already owned four adjacent distressed notes.
Victoria's stomach tightened.
“Pull every property.”
Naomi did.
Seven parcels.
Five under Hale Meridian control.
Two privately owned.
One of those was Mercer Auto Works.
Naomi looked at Victoria.
“This is assemblage.”
“Yes.”
“Was it approved?”
“I don't remember approving this.”
“Portfolio acquisition may have included it indirectly.”
Victoria read more.
A redevelopment concept appeared.
Mixed-use commercial.
Luxury residential.
Parking.
Retail.
Target site control: 100%.
Projected value after rezoning: $38 million.
Victoria's expression changed.
“Marcus.”
Naomi nodded.
“He's been buying the block.”
“Using distressed notes.”
“Yes.”
“Did the investment committee know the site-control strategy?”
“I'll check.”
Victoria looked again at Daniel’s address.
Twenty-six days until foreclosure.
His debt was worth more to Hale Meridian defaulted than performing.
That was the problem.
If Daniel cured the loan, Hale Meridian earned interest.
If he lost the property, Hale Meridian could assemble the block and potentially earn millions.
The incentives pointed in one direction.
And whoever handled restructuring knew it.
“Call Marcus.”
Naomi hesitated.
“He's in Boston.”
“I don't care.”
Ten minutes later, Marcus appeared on a video screen.
Early forties.
Dark suit.
Smooth voice.
“Victoria. Morning.”
“Mercer Auto Works.”
He paused.
Not long.
Long enough.
“What about it?”
“Why are we foreclosing?”