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Would-be buyers say they waited 18 months for homes to be built, then sale fell through

Posted at 10:35 AM, Nov 13, 2017
and last updated 2017-11-13 12:35:19-05

DENVER -- A pair of would-be home buyers are suing after their purchases of new townhomes at Sloans Lake fell apart at the last minute. 

Jordan Head and his friend, who did not want to be named for this story, put themselves on the waiting list more than 18 months ago for the Perry Row Townhomes, developed by Presidio Sloans.

“Me and my friend were so excited to move into a new, hot and up-and-coming neighborhood,” Head said.

According to their lawsuit, the friends both agreed to pay more than $450,000 for their homes and each put down about $24,000 in earnest money and deposits for the deals. 

But when the new homes were finally built, and it was time for the final walk-throughs, the developer said both home buyers failed to show up for closing and canceled their sales.  

After the deals fell through, the home Head's friend planned to buy was relisted at one point for $80,000 more than she had agreed to pay, leading both to conclude there may have been an economic motivation to cancel the deals. 

“I guess [the neighborhood] is so hot, I guess you just rip people off,” Head said. 

Head claims the seller scheduled his closing for the same day as his final walk-through, then canceled the deal when he couldn’t be in both places at once.

"Why am I doing an inspection and the developer's at a closing table, waiting for me? They know I'm over at the property doing a walk-through, so why would he be at a closing table waiting for me to close? That is the most guilty, conniving thing I've ever seen!" Head said. 

Representatives for Presidio Homes declined Denver7’s requests for an interview. An attorney representing the developer said in a letter to Denver7 Investigates that Head and his friend both failed to secure financing in time for closing, which Head denies. 

“Every other purchaser has met the obligation in their contract and secured financing in time for closing. Presidio Sloans is pleased the Perry Row Townhomes have been so well received and our goal is to ensure that every buyer is satisfied with his or her purchase and happy in his or her new home,” attorney Erica Houck Englert wrote. 

The developer also says it has offered to settle with the would-be home buyers by returning their earnest money but they have refused. Head and his friend said Presidio Sloans wanted them to sign an agreement promising not to file litigation in exchange for the earnest money.

“Apparently there's no recourse other than you gotta go sue someone to have them complete something that [they] obligated themselves to do for over a year to me and another friend of mine,” Head said. “I don't feel comfortable with the development in the community if this is how the developer behaves ... This has been eye-opening for me.”