One of the luxury condominiums within the Ritz-Carlton Residences has sold for $6.48 million, despite an ongoing legal battle between the developer of the wider $2 billion project and its lender.
Scottsdale-based Five Star Development, the developer of the 122-acre Ritz-Carlton Paradise Valley and The Palmeraie, in May filed a lawsuit alleging that its construction lender, an entity affiliated with New York-based Madison Realty Capital, put itself in a position to seize control and ownership of the project. Madison, which has denied allegations of wrongdoing, filed a notice of trustee's sale on Aug. 4, with plans to force a November foreclosure auction.
Despite that background noise, the sale of the villa went through.
The transaction closed Aug. 13 for $6.48 million, a bit less than the list price of $6.95 million.
