BankAmerica Sells Foreclosed Land for Wildlife Displaced by Developers
Kapiloff, Howard, American Banker
BankAmerica Corp. has unveiled a new program that helps it unload foreclosed real estate more quickly.
The San Francisco-based bank said last Friday that it plans to sell foreclosed property to real estate developers who are struggling to meet environmental regulations.
California developers who build on land where endangered species reside are required by state law to purchase replacement property to provide a new home for the animals.
This process means the developer has to search for the replacement land, get it approved by the state, and manage it.
The requirement can hold up a project for six months, said Jim Jackson, a BankAmerica vice president in the foreclosed properties department.
Now BankAmerica has speeded up the process by several months. The bank has formed a "conservation bank" on a 263-acre property in Carlsbad Highlands, a town outside San Diego.
The property, part of a $4.5 million trust, was foreclosed on by the bank in September. The property has been preapproved by California environmental agencies as appropriate replacement land for construction sites that stir up natural habitats. …