The Herald Bulletin

Morning Update

Local News

July 7, 2013

Mortgage holder moves to foreclose on Delaware Court Apartments

Other downtown apartments struggle in difficult economy

ANDERSON, Ind. — Another downtown apartment building has fallen on hard times and is in foreclosure.

Bayview Loan Servicing LLC, which loaned Brooklyn, New York, investor Gilberto P. Rodriguez, $300,000 to buy the property at 120 W. 10th St. in late 2007, has filed a lawsuit in Madison County Circuit Court 3 to reclaim the 40-unit apartment building because of non-payment.

With interest and penalties, Bayview claimed in court documents that Rodriguez owes the company approximately $391,813.

That leaves current tenants — some of whom have received copies of the lawsuit — with an uncertain housing future, and more questions than answers. Tenants said they make rent payments to Gold Key Properties of Anderson.

Residents say the apartments haven't been maintained well since Rodriguez assumed ownership. An entire section is padlocked, and concrete stairs in the back have crumbled and collapsed. The steam heating system doesn't work well in winter, and some of the units are infested with bedbugs, mice and cockroaches.

Gold Key owner Linda Babbitt, who has managed the apartments since August 2011, said the owners also owe her money for repairs and maintenance.

Babbitt treated the apartments for bedbugs, but said some residents have brought people and furniture infested with the parasites into apartments. In addition, residents leave food out and trash in hallways instead of using on-site dumpsters, which only lures the vermin back.

"I can't get them to stop it," Babbitt said. "We manage more than 300 properties and it's very frustrating. That's the only one I can't get a handle on."

Pam Wilcox said she moved from Tower Place Apartments to Delaware Court five years ago to help a relative and wishes she could go back.

"I lived there and I loved it," Wilcox said. "If I could get (apartment) 1203 again, I'd go back in a heartbeat."

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