The Grandview Crest Homeowners Assn. in the Lake Forest-El Toro area agreed to a $6.6-million settlement of their lawsuit alleging a variety of construction defects, attorneys said Tuesday.
The suit was brought against Signal Landmark Inc., a Newport Beach developer, and two companies that operated in Orange County but have gone out of business--Onyx Land Co. and Lake Forest Properties, lawyers said.
The 341-unit condominium development was plagued by water leaks that stained carpets, cracked drywall and rotted decks, said Ross Feinberg, a lawyer representing the condo owners.
In all, he said, residents paid more than $1 million for unexpected repairs on their homes, which were built in phases from 1985 to 1989. "The roofs are supposed to last 25 years," Feinberg said of the 76-building complex, "but after six years they replaced a lot of roofs."
The companies did not admit any liability in the settlement, said Timothy Earl, an attorney for Signal Landmark. The settlement was mediated by Alexander Polsky of JAMS/Endispute in Anaheim.