Crisp, who is having trouble making the payments on a few homes, "obtains" a letter of credit for $1.8 billion.
From the Bakersfield Californain:
Project developer David Crisp received a letter of intent for a $1.8 billion line of credit for the University Towers project at Cal State Bakersfield.
In a letter, investment firm Neuflithz Wisenthall & Schlumberger said it would extend the credit line for a 10-year term with a 5.8 percent interest per year.
Crisp shared the letter with The Californian Thursday.
Friday morning, Crisp said the loan terms are still being negotiated.
"Do I feel confident about this as a funding source? Yes, I do, 110 percent," Crisp said. "I'm confident with people that are working on it, I'm confident that it will get done."
Crisp hopes to finalize the financing within the next five to six weeks.
Tim Mahoney, an independent broker based in Oklahoma who's working with Crisp on financing the towers, said everything is going well with the deal. Financing terms are confidential, he said, adding they are dealing with "high-level financiers from Europe." Neuflithz Wisenthall & Schlumberger was incorporated in Delaware in 1989, according to the Delaware Secretary of State's Web site. On Neuflithz's site, clicking the "Contact us" button launches an e-mail window. It appears the e-mail will be sent to an address in the United Arab Emirates.
The company acts as a credit leasing agent and fiduciary trustee for "corporations and individuals who, for many and varied reasons, wish to do so on the private financial markets rather than through the traditional banking sources, undertaking to conduct 'due diligence' in such cases when an independent credit leasing agent or fiduciary trustee are called for, through its bankers in Luxembourg and Switzerland, from whom full banking references are available by previous arrangement."