2007 Annual Report signed

PSKP takes over Droopy.

Mailing address of registered office is Bowker’s.

Due 10/1/07

Dated 12/5/07

Filed 3/7/08

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4 thoughts on “2007 Annual Report signed”

  1. Does this constitute an acquisition? By virtue of the fact that some individuals involved with PSKP became Officers and Directors of Droopy Corporation, does this mean that PSKP became owner of 446 Stanwood? Apparently so, or so claims PSKP. I’m not convinced.

  2. It has been well documented, during the time period of 2007 to 2010, real estate values plummeted throughout the United States, especially Michigan. Given that the property sold in 2010 (at the absolute bottom of the market) for $109,900, it is reasonable to assume that the property was valued at around $150,000 in 2007. This value is further supported by the 2005 Northpointe Bank loan of $90,000. Assuming that the bank would only loan up to 60% of the value of a fraternity house, the appraisal used by the bank in 2005 probably valued the property near $150,000. Therefore, in 2007, the value of 446 Stanwood presumably was $60,000 ($150,000 value less the $90,000 debt). The value of the property in 2007 is debatable. What is not debatable is that Chi Tetarton should not have simply handed over its significant equity for nothing in return. At the very least, it should have obtained a lease at favorable terms, called a sale-leaseback. But it didn’t. PSKP jacked up the rent substantially, forcing the chapter to find a better deal elsewhere. This gave Droopy and PSKP the opportunity to sell the property. The sale was $109,900, and the only known debt was under $90,000. PSKP and Droopy refuse to provide any accounting of the dispostion of the sales proceeds.

  3. The PSKP people probably will say that the property was underwater in 2007 when the Chi Tetarton guys ran to PSKP, begging for help. To believe their story, you must ignore all of the data that says that real estate values declined from 2007 to 2010. This property was underwater already, they will say.

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