Tom Terminella’s Woes Continue

While most people have heard about Tom Terminella’s recent woes, there are a few fine points that you may not have read:
Two banks have filed three petitions of foreclosure against Terminella and partners totaling more than $13.2 million in unpaid principal, interest and late fees.
The Bank of England (Ark.) filed its petition of foreclosure in Benton County on June 6 that totals nearly $900,000. It names Montgomery Homes LLC, Terminella Inc., Terminella and John Montgomery as defendants.
The property in default includes 20 lots in the Creekwood subdivision. A modification to the mortgage dated June 27, 2006, added another 16 lots in Creekwood as collateral. The lots are located in both Rogers and Lowell.
Metropolitan National Bank filed two of the lawsuits in late May, including one in Benton County and another in Washington County. The Washington County filing seeks nearly $7 million and names Grand Valley Ridge LLC, Terminella, The Tom and Anna Morter Living Trust, The Milton T. Morter III Trust, Myron T. Morter III and Milton T. Morter III as defendants.
The property in default includes 101 lots in Springdale’s Grand Valley Ridge subdivision.
Metropolitan’s Benton County filing seeks more than $5 million and names Bentonville USA Development LLC, Terminella Inc., Terminella and Mark Foster as defendants.
The property in default includes 34.46 acres of commercial land in Bentonville’s Cornerstone Ridge shopping center development.
Terminella did not respond to requests for comment.

Terminella Trembles
Even though the real estate arm of Terminella & Associates Inc. of Fayetteville has nothing to do with the development side of the business, the ripple effects of negative news are being felt.
Three Terminella agents who combined for more than $28 million in residential sales in 2006 have left the company. That includes principal broker Doug Gibson, who sold $12.15 million for Terminella last year. Gibson is now a broker at Crye-Leike Realtors’ Rogers branch. He’s joined by former Terminella agents Linden Polk ($8.1 million in ’06 sales) and Tiffany Chapman ($7.77 million in sales).
Bruce Benton, a Certified Commercial Investment Member, left Terminella & Associates a few months ago and put up his own shingle under Benton Realty Advisors.