• 0
  • Home
  • About Us
  • What We Do

Shopping Cart

GPAM
  • Home
  • About Us
  • What We Do

Auction date set for Hadid’s Franklin Canyon properties

Mohamed Hadid’s with Franklin Canyon (iStock, Getty)
Mohamed Hadid’s with Franklin Canyon (iStock, Getty)

An auction date has been set for the controversial Franklin Canyon-area land where Mohamed Hadid once envisioned an elaborate luxury compound.

The 65-acre land offering, dubbed “the Royalton Auction,” is being orchestrated by a bankruptcy court-appointed trustee and is scheduled for March 24. It will take place both live and by webcast, according to a release from the two auction houses hired by the court to conduct the sale. The property’s six parcels will be offered both individually and grouped.

The hilltop location comes with particularly loaded backstory — a fact alluded to by the auction house executives.

“Ours is not to decide what will be done with the property,” Jeff Tanenbaum, president of ThreeSixty Asset Advisors, one of the two firms, said in the release. “We know many would like it to remain for the exclusive use of hikers, but it is privately owned property … Our mandate is to identify interested parties and sell the properties to the highest and best bidders.”

The auction scheduling comes nearly three months after a judge appointed a court trustee to take control of the properties, the latest turn in a fierce land battle that had already dragged on for years. The two entities that own the hilltop land, Coldwater Development LLC and Lydda Lud LLC, filed for bankruptcy protection in January 2021 but had remained controlled by Hadid; at a December hearing, a bankruptcy judge wrested control  after from the developer after a strange sequence of events that included Hadid’s surprise transfer of $1.5 million out of an escrow account to return funds a potential Saudi buyer who was furious over an alleged breach of a nondisclosure agreement.

At the time Ronald Richards, the high-powered attorney who emerged as Hadid’s main opponent and largest creditor in the dispute, described the trusteeship as “a horrible day for Hadid,” because the judge revoked control from the embattled developer. Hadid and his legal team, however, actually welcomed the trusteeship, on the hope that a sale orchestrated by a court-appointed arbiter could potentially fetch a high price. (Proceeds from any sale will first be used to pay off the entities’ debts, but remaining funds could potentially return to Hadid.)

“We think a trustee can ensure a sale that’s free from interference from those who don’t want to see that sale happen,” Jeff Reeves, an attorney for Hadid, said in December. “There are a lot of people that don’t want to see that property sold for a fair price.”

The fair price, Reeves said then, was north of $130 million; in the release, the auction house executives also point to a recent $131 million “as-is” appraisal for the property.

“Of course, being sold at auction, the value will ultimately be determined by the buyers,” added Mike Walters, president of Tranzon Asset Strategies, one of the two auction firms.

A sale could also bring some kind of closure to one of Los Angeles’ longest and most dramatic land use sagas. Hadid bought part of the property, which lies adjacent to Hastain Trail, a popular hiking area, in 2006 and the remainder in 2011. But a bitter dispute began after he announced plans for a lavish residential compound, with some neighbors and area residents vigorously fighting the development.

In 2020, before the entities’ bankruptcy declaration, a mysteriously funded Beverly Hills LLC called Give Back, operated by Richards, began buying the debts — the exact figure is disputed, but Give Back owns some $30 million in the property’s bank notes — in an effort to take control of the land and set it aside for public use. As that subsequent legal battle has played out this year in bankruptcy court, various potential buyers, including a Saudi purportedly connected to that country’s royal family and a Ventura County construction firm, have also surfaced only to ultimately lose interest, setting the stage for the trusteeship and scheduled auction.

The scheduling comes soon after demolition began on another highly controversial Hadid project, the never-completed Strada Vecchia mansion; in a recent interview the brazen Palestinian-born spec developer said he was turning his focus to projects in the Middle East, where he was more appreciated. Richards was not immediately available to comment on the auction scheduling.

Read more
  • Mohamed Hadid’s last stand
  • Park advocates battling Hadid find support from unlikely place
  • Hadid wins $900,000 break on Strada Vecchia tab
[contact-form-7 404 "Not Found"]

The post Auction date set for Hadid’s Franklin Canyon properties appeared first on The Real Deal Los Angeles.

Powered by WPeMatico

  • 25 February 2022
  • The Real Deal
  • Uncategorized
  •  Like
State to LA: rezone for 250K new homes or else →← Valley boys? Rams look to buy defunct mall for practice field
  • Recent Posts

    • Hoteliers sound the alarm on looming distress  May 24, 2025
    • Growth markets see retail boom even with tariff uncertainty May 24, 2025
    • Westchester resi project gets city OK after union drops objection May 23, 2025
    • WATCH: ‘Father of CMBS’ Ethan Penner to run for governor of California May 23, 2025
    • Fashion Island office fetches $756 psf May 23, 2025
  • Recent Comments

    • Archives

      • May 2025
      • April 2025
      • March 2025
      • February 2025
      • January 2025
      • December 2024
      • November 2024
      • October 2024
      • September 2024
      • August 2024
      • July 2024
      • June 2024
      • May 2024
      • April 2024
      • March 2024
      • February 2024
      • January 2024
      • December 2023
      • February 2023
      • January 2023
      • December 2022
      • November 2022
      • October 2022
      • September 2022
      • August 2022
      • July 2022
      • June 2022
      • May 2022
      • April 2022
      • March 2022
      • February 2022
      • January 2022
      • December 2021
      • November 2021
      • October 2021
      • September 2021
      • August 2021
      • July 2021
      • June 2021
      • May 2021
      • April 2021
      • March 2021
      • February 2021
      • January 2021
      • December 2020
      • November 2020
      • October 2020
      • September 2020
      • August 2020
      • July 2020
      • June 2020
      • May 2020
      • April 2020
      • March 2020
      • February 2020
      • January 2020
      • December 2019
      • November 2019
      • October 2019
      • September 2019
      • August 2019
      • July 2019
      • June 2019
      • May 2019
      • April 2019
      • March 2019
      • February 2019
      • January 2019
      • December 2018
      • November 2018
      • October 2018
      • September 2018
      • August 2018
      • July 2018
      • June 2018
      • May 2018
      • April 2018
      • March 2018
      • February 2018
      • January 2018
      • December 2017
    • Global Property and Asset Mangement, Inc.
      137 North Larchmont
      Los Angeles, California 90010
      +1 213-427-1127

    © 2025 GPAM