Cordes & Company

Self-storage receivership overcomes obstacles

A self storage facility offers more than 900 units of personal, business and RV/boat storage in Oroville, California.  When the owner defaulted on the loan, Cordes & Company was named as receiver – to manage both property and operations.  The lender and the owner agreed to sell the property through the receiver, and we retained a broker.  At the last minute, the owner changed his mind about selling and, together with a former employee, went to great lengths to undermine the receivership.  The owner went so far as to contact the FDIC, to no avail.  Our audit revealed significant rental irregularities, which were addressed.  When complaints were made by tenants, our research uncovered business relationships with the owner or family relationships with the employee.  During our tenure, revenues were increased.  Upon foreclosure, the lender retained us to manage the property and work with a buyer until the self-storage facility was sold via REO.

California
2030 Main Street
Suite 1600
Irvine, CA 92614
Telephone: 949.379.1202
Colorado
5299 DTC Boulevard
Suite 815
Greenwood Village, CO 80111
Telephone: 303.721.8755
Minnesota
2677 N. Innsbruck Drive
Suite A
New Brighton, MN 55112
Telephone: 612.455.6027
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