Bank of America Accused of Overcharging on Interest

sudler-sothebys-logo12 November 2009 ?

Bank of America seems to have its hands on many troubled Chicago real estate developments, including Block 37 and the Chicago Spire. Most recently, the developer of the Spire, Shelbourne Development Group, has accused the bank of using a faulty method for calculating interest on their loans. It is fairly standard practice to use a 360 day, rather than a 365 day, year to calculate interest in commercial loans. Shelbourne, however, is accusing the lender of ?intentionally and deceptively? using ?contradictory or ambiguous language? in the loan agreement. Construction of the building has been stalled at the foundation level, and completion of the project will depend on resolution of these financial issues. Shelbourne is currently facing eviction from its $10 million sales center in the NBC Tower, yet another indicator of the project’s difficulties.

Email This Post To a Friend. Email This Post To a Friend.
, , ,

About Stacy Braack

Stacy is a seasoned real estate professional with a broad range of hands-on experience including first time buyers, investors, luxury homes, and distressed properties. While this may appear to be a scattered set of expertise, she believes the experience provides maximum effectiveness in today's chaotic market, which requires extensive knowledge of all aspects of the industry. Stacy's educational background includes a BS in Industrial Engineering from Stanford University and an MBA in Marketing and Finance from the Kellogg Graduate School of Management. Professionally, Stacy has done everything from operations consulting to city government before she found her passion in real estate almost eleven years ago. It is this passion that drives the most benefit to her buyers and sellers. She is fully committed to your goals - both financial and personal. Her clients describe her as extremely direct, honest, and responsive, and they repeatedly trust her to handle one of the biggest events in their lives. For buyers she works non-stop to find you both a home you will love to live in and one that is a smart investment. Many of her 2008 buyers have realized instant equity in their new homes through 'pit bull' negotiation skills. While the market has been tough for sellers, her listings have sold at a rate above that of the market. Extensive, constant, and extremely high-quality marketing, including both print and internet mediums, support every listing, from investment studios to luxury penthouses. She believes that your goals are her priority and her full-time job. She has built her business on referrals from satisfied clients, and she would love to add you to that list. You can contact her at 773-405-4431 or

View all posts by Stacy Braack


  1. Hotel Burnham Nearing Foreclosure - Restructuring Discussions Begin | The Chicago 77 - December 10, 2009

    […] 2009 ? The Hotel Burnham, located at 1 W. Washington in the Loop, is facing a foreclosure suit by Bank of America. Developers Dan McCaffery and E. Barry Mansur, who converted the office building to a hotel in the […]

  2. Bank of America Signs on to Reduce Interest Rates on Second Mortgages | The Chicago 77 - January 27, 2010

    […] despite that, Bank of American has signed on. According to the Wall Street Journal, a spokesman for Bank of America says the company has put more than 200,000 borrowers into trial modifications ? the first stage […]