Huntington Beach City Councilman Keith Bohr, who for months was tangled up with financial difficulties, including a bankruptcy, a lawsuit by a lender and an attempted foreclosure on his house, seems to be getting his finances in order, according to interviews and a review of court records.
"Things are turning around," Bohr said.
A settlement was reached between Bohr and Los Angeles-based Cathay Bank, a lender that gave Bohr and his partner, Jeff Bergsma, $8 million to build 26 condominiums and six commercial units at the historic La Salle Hotel in San Pedro.
When the project tanked due to the bad economy, the partners couldn't make their payments. Bohr and Bergsma, who ran Team Cos., filed Chapter 7 bankruptcy and dissolved the company last year.
Cathay sued Bohr and Bergsma for $3.1 million each, plus attorney fees.
All court orders and pending dates for Bohr were canceled Sept. 16 after he and Cathay reached a confidential agreement, court records show.
"We're giddy about how it turned out," Bohr said.
Both sides are scheduled to meet in court Nov. 3 to show why the case should be dismissed.
Bohr, who sued Wells Fargo earlier this year when it attempted to foreclose on his home before first allowing him to modify his loan and the $10,416 monthly mortgage, is also expected to settle that suit this week, he said.
A request for dismissal of the lawsuit with Wells Fargo is expected to be filed no later than Oct. 20, court records show.
"The mortgage will be brought to market rate," Bohr said.