COM 0106.051 2004-2006 - Laserfiche WebLink

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Barbara Scott Pagc 3 of 4 and distinct entities, with Brian Cook as the principal of Pua'a Development, LLC and Andrew McCabe as the principal of Suffolk Investments, LLC. It appears that someone was misinformed and/or missed relevant public information. It was a red flag to see two business entities on contiguous parcels, acquired from the same land developer at the same time, and collaborating on the same project. While under the control of land developer Westpro, the project area acquired water commitments and a parcel consolidation and resubdivision action that resulted in creating parcels of just under I S acres, by 5,662.8 square feet for Suffolk and by 1,176 square feet for Pua'a, thereby avoiding the LUC review requirement for the development applications. I~he parcel size has become a common tactic for LUC avoidance and not that surprising over the last few years. Nevertheless, assurances from their consultant did not assuage the commonality of the three business entities activities. Another common tactic is the abundance of Limited Liability Companies created by developers for their projects. Combined with changes to parcel numbers on TMK maps (frequently not current), there is an unavoidable climate for confusion. Pua'a Development. I,LC is a Hawaii registered Manager-Managed limited liability Company organized in 2001 under the sole management of James K. Schuler of Schuler Homes, Inc Pualani Estates Subdivision owner (66.78 acre purchase from Pualani Estates, Inc. in 2001 for TMK (3)7-5- 017:029 and consolidated with TMK (3)7-5-017:028 The registered agent for Pua'a Development, LLC is Dennis Lombardi. James K. Schuler, who has nationwide and offshore real estate assets listed in the millions to billions (according to SEC filings), is the Pua'a Development, LLC principal. The Brian Cook association with Pua'a Development, LLC. is not as the principal, although he may be a consultant, facilitator, or investor. Suffolk Investments, LLC Additional development business practices include using the Tenancy Tn Common (T1C) instrument; and the recently IRS approved 1031 Exchange, where a qualified intermediary will set up a separate entity to handle the Exchange. The entity, called an Exchange Accommodation Titleholder (GAT) by the IRS, will be the titleholder of the property. "fhe developer's lender will then make their loan to the GAT entity, which is usually an LLC. The developer can acquire a loan in the form of a first mortgage or deed of trust to the EAT. A cash-flow advantage is available with this tactic, and provides the means for a developer to proceed with other projects while waiting to flip the Exchange property. Suffolk Imcsnncnts. I,LC is aMember-Managed Ilawaii registered limited liability company. "the Company Member-Manager is Shamrock holdings Group, LI,C and the Registered Agent is Ron Lunsford. Following the obvious path of filed business information leads to a conclusion that Suffolk Investments, LI,C is a business entity set up as an Exchange Accommodation "Titleholder. Shamrock I loldings Group, LLC is aMember-Managed Colorado registered limited liability company. The Registered Agent and Initial Member, listed in the Colorado Articles of Organization, is Daniel E. McCabe. Ron Lunsford, the Suffolk Registered Agent, is the Regional Manager of the 103 ] Exchange Department at Hawaii Escrow & Title, Inc., located in Honolulu more about Mr. Lunsford in a moment. Investment Ixchange Group. I LC (IX(.) is aMember-Managed Colorado registered limited liability company. The Registered Agent and Initial Member, listed in the Colorado Articles of 5/31 /2005