Tuesday, March 4, 2008 Editorial • What is the truth about the Dyer sale?

Publisher’s note: This editorial is reprinted from the Tuesday, March 4, 2008 edition of the Lassen County Times.

Nearly every week to 14 days in the past two months a reporter from the Lassen County Times has gone to the Courthouse to see if Dyer Mountain Associates had to sell its 6,700-acre four-season resort in Westwood because its refinancing hopes failed.

And each time, the reporter has come back to the office to write a story about how the public auction was delayed and a new date is scheduled.

According to California Mortgage Reality, DMA’s mortgage lender, it planned the first and subsequent public auctions so the remaining unpaid balance on a Deed of Trust executed on Nov. 18, 2005, can be paid. DMA owes almost $16 million.

The last announcement made on the public auction came from independent auctioneer George Wickman. On Friday, Feb. 22, on the courthouse steps, Wickman said the sale is postponed until 2 p.m. on Tuesday, April 8.

A legal notice in today’s March 4 issue of the paper stated the new date of the public auction is Tuesday, March 24.

Sara Duryea, one of the three DMA managers, told the paper it had until Saturday, March 15 to meet the refinancing criteria. She said DMA had to pay $200,000 by Feb. 15 and it did.

DMA President Grant Sedgewick also told the paper that the sale would be postponed until March 31. By that time, he said DMA will probably announce a new financing package providing money to pay off the loan and enough money to go forward with the development.

The paper faxed a letter to the lender asking which date for the public auction is correct. We received no response. It appears DMA is getting every chance possible to pay off its debt. It also appears that maybe with announcing different dates, no one will show up for the auction except those hand-picked by the lender. So far, with exception to one posted sale, the local media are the only ones standing on the courthouse steps waiting to see if the sale will take place.

Does that mean there are no buyers at all? Or were there sharks who knew the past sales were bogus, were informed ahead of time the sale was postponed and will swoop in when the media and public get tired of the game?

We guess we’ll wait until March 24, March 31, and April 8, to find out.