This is an old story, but I think it is worth reading about.
How do you make $300,000 in less than 30 days? Well take lessons from the Pyramid school of real estate's CEO George Kaplan. An outstanding accomplishment in real estate dealing. I think Lake County has their own Donald Trump here! If Mr. Kaplan was to replace Tom McDermott, teach a class @ Purdue on real estate deals, I would be first in line to take his class. How to make $300,000 in 30 days!
The former Lake County Corner Willardo and his wife sold a building to Kaplan/Pyramid. Now Dr. Willardo simply sold a property for $700,000 to Kaplan/Pyramid and 30 days later Kaplan/Pyramid sold the property to Purdue. From what I have read on other stories on this deal, Pyramid may have had a pending sales contract on this property for some time. No one has referenced a recorded sales contract in Crown Point. Someone actually went to CP and looked thru the transaction records. Who knows if one exist. Maybe it was misfiled, the Willardo to Kaplan/Pyramid sales contract doesn't have to be recorded. Sorta misfiled like, if I remember correctly, the McDermott Sr tax appeal letter of back a few years ago, filed by one of Tom's best friends who is an Administrator in Hammond City Government.
Anything illegal? Hell, I don't know. A $300,000 profit in 30 days on a building needing $1,000,000 of repairs, and empty for 2 years and an Assessor assessed value under $500,000? Hell who cares, Federal Tax Dollars Paid for the property!
Now something I didn't know, is at one time Dr. Willardo has been, as some would say, a LC insider.
Some History, In September, 1982, Alfred T. Willardo, (Respondent) was indicted by the Lake County Grand Jury for Theft, a Class D Felony. The Respondent pled not guilty, was tried by a jury and, on February 9, 1983, was found guilty of Theft, a Class D Felony. On March 3, 1983, the trial court entered judgment against the Respondent finding him guilty of a Class A Misdemeanor pursuant to the provisions of I.C. 35-20-2-7. The Respondent was sentenced to one year, which was suspended, to probation for one year, restitution, and was further required to resign as Coroner.
The indictment and conviction stemmed from Respondent's diversion of county funds into his campaign account. The Respondent had directed his former office manager and chief deputy to falsify and file mileage claims, some signed by the Respondent himself, the funds from which were eventually funneled into Respondent's campaign account.
The Respondent took an appeal to the Indiana Court of Appeals which affirmed the judgment of the trial court. A petition for rehearing and a petition to transfer to this Court were subsequently denied. http://in.findacase.com/research/wfrmDocViewer.aspx/xq/fac.19860605_0030577.IN.htm/qx. Note, I have looked for a appeal reversal on the conviction, but did not find one. If one exist, please let me know, I would like to add it to this post.
Willardo since this one and only episode of legal concern in his life, appears to have been an outstanding medical practitioner, serving in the local medical community with out incident before or after.
On with the story. Public records indicate Willardo and his wife, executed a Warranty Deed on October 31st, 2012 to Pyramid Development, Inc. Sales price? Apparently recorded was $700,000. On November 30th, 2012, approximately a month later, Pyramid Development, Inc. executed a Warranty Deed, in which ownership was transferred to Purdue Research Foundation. The Hammond Times informed the public, Purdue paid $1,000,000 to Pyramid Development.
Now a private sale from one person to another, no big deal, but a private to public sale with in 30 days making a neat $300,000 profit?
Purdue says the property needed $1,000,000 of improvements. OK... I understand that, hell the last tenant was Tom McDermott's campaign and they very well may have left the property in a mess. Tenants do that from time to time. It was empty for approximately 2 years. So I can see a $1,000,000 investment. But then someone balked.
Purdue said they didn't have the money. Along comes Purdue's hero, Tom McDerott Jr., who announced $3,000,000 in Casino Revenu Funds was going to be given to Purdue for the rehab of the property. Tom is a true humanitarian.
Now looking at the Assessor's Records, they place a tax value on the property of $473,400 true tax value on the property. Ok Assessors historically under value properties. No wonder Lake County needs an income tax. Commercial property undervalued? Go figure.
So how does a property vacant for two years, needing $3,000,000 of improvements sell for $1,000,000 and 30 days before sell for $700,000.
I hear someone just might give a second, third and fourth look at this deal.