The controversial Colony Ridge development in Liberty county, which targets Hispanics and which has been labeled a “foreclosure mill” by Texas Attorney General Ken Paxton, appears to routinely ignore Texas law when sending out foreclosure notices.
Section 51.0075 (e)of the Texas Property Code requires that “the name and a street address for a trustee or substitute trustees shall be disclosed on the notice required by Section 51.002 (b).” But all sampled Colony Ridge foreclosure notices do not include the trustee’s street address.
Nor do they include the location of foreclosure sales, which state law also requires.
These and other irregularities may explain why Paxton found the foreclosure rate in Colony Ridge is 50 times the national average.
They also could theoretically invalidate thousands of foreclosures, according to sources consulted for this post.
The massive Colony Ridge development in Liberty County primarily sells owner-financed land on which buyers put their own homes. Shown above, one small portion of the development now 50% larger than Manhattan.
Colony Ridge Foreclosure Notices Contain No Street Address for Trustee
A random sampling of foreclosure notices for Liberty County properties outside of Colony Ridge shows that all trustees have complied with the street address provision.
However, a second sampling of foreclosure notices on properties inside Colony Ridge shows that none of the 58 notices contains a street address for the trustee. Instead, they include only a Post Office Box number.
In Texas, a “street address” includes the name and number of a building, along with the street or road it’s located on. It’s needed for driver’s licenses and other official documents, such as foreclosure notices.
According to ChatGPT, in Texas, foreclosure notices must include the street address of the trusteeor substitute trustee to ensure transparency and accessibility for borrowers and interested parties. This requirement serves several key purposes. It:
Prevents Fraud and Confusion – Clearly identifying the trustee’s location reduces the risk of fraudulent or misleading foreclosure practices by ensuring that the foreclosure is managed by a verifiable, accessible entity.
Facilitates Communication – The trustee is responsible for conducting the foreclosure sale, so providing a physical address allows borrowers, lienholders, and other interested parties to contact them for inquiries, legal matters, or foreclosure-related issues.
Ensures Proper Notice – Texas law mandates that foreclosure procedures follow due process, which includes proper notice to homeowners. Listing the trustee’s address helps ensure that homeowners know where to send requests for information, reinstatement payments, or legal disputes.
Complies with Texas Property Code – Texas law, including Section 51.0075 (e) of the Texas Property Code, sets strict requirements for foreclosure notices. The inclusion of a trustee’s street address aligns with these legal requirements, helping to protect both lenders and borrowers.
Location of Foreclosure Sale Also Omitted
Texas law also requires that foreclosure notices include the location of the foreclosure sale itself.
Properties outside of Colony Ridge list this information. However, all 58 of these Colony Ridge foreclosure notices only say, “At a place designated by the Commissioner’s Court of Liberty County, Texas.”
People from south of the border may not know the customary location of such sales – at county courthouses. That makes it difficult for non-English speakers to figure out where to go if they want to bid on their property. It also increases the likelihood that foreclosures will sale through uncontested.
Finally, it helps explain why investigative journalist Wayne Dolcefino found that Colony Ridge successfully repurchased all properties in a foreclosure sale around Thanksgiving, 2020. In the first 11 months that year, the developer foreclosed on approximately 2,900 properties out of 22,956 that reportedly existed in the development at that time – 13% in less than a year.
Today, the development is at least 50% larger than Manhattan. So, the number of foreclosures each year since 2020 has likely increased.
Contested Foreclosures Possible And Other Implications
Failure to disclose such information could potentially invalidate a foreclosure sale if challenged in court. Texas foreclosure law is strict about proper notice requirements, and any defect in the notice could give borrowers grounds to contest the foreclosure. Here’s why:
1. Strict Compliance Required
Texas courts have ruled that failure to strictly follow foreclosure notice requirements can be grounds to invalidate a sale.
If the foreclosure has already occurred, a borrower could challenge it and request that the court void the sale due to non-compliance.
2. Violation of Texas Property Code
Under Texas Property Code § 51.002(b), a foreclosure notice must include key information, including the date, time, location of the sale, and the name and street address of the trustee.
If this information is missing or incorrect, the notice might not meet statutory requirements, making the foreclosure legally defective.
3. Borrower’s Right to Challenge the Foreclosure
If a borrower can show that the missing trustee address caused harm or confusion, they may file a lawsuit to halt or reverse the foreclosure.
A court could issue a temporary restraining order (TRO) or injunction, delaying the foreclosure until the notice is corrected.
4. Lender May Have to Restart the Process
If a court finds that the notice was defective, the lender may have to start the foreclosure process over, sending a corrected notice and waiting the required 21-day period before conducting a new sale.
5. Trustee and Lender Liability
A defective notice could also expose the trustee and lender to legal claims, including wrongful foreclosure or violations of Texas consumer protection laws.
Bottom Line
According to one lawyer consulted for this post, missing addresses for the trustee and/or sale location represent serious defects that could invalidate a Texas foreclosure if properly challenged. If you or someone you know face foreclosure and notices are an issue, consulting a real estate attorney to explore your legal options may help.
Posted by Bob Rehak on 2/12/2025
2724 Days since Hurricane Harvey
The thoughts expressed in this post represent opinions on matters of public concern and safety. They are protected by the First Amendment of the US Constitution and the Anti-SLAPP Statute of the Great State of Texas.
https://i0.wp.com/reduceflooding.com/wp-content/uploads/2023/09/20230812-RJR_1929.jpg?fit=1100%2C733&ssl=17331100adminadmin2025-02-12 19:53:132025-02-12 22:46:49Colony Ridge Foreclosure Notices Appear to Routinely Ignore Texas Law
2/10/2025 – An email among a powerful association of real estate developers and mortgage lenders obtained by ReduceFlooding.com details why the group feels the need to exploit immigrants despite criticism of its businesses practices from both the left and the right. The email defends a business model knowingly based on a high percentage of unqualified buyers whose property is repossessed and resold.
Foreclosure Rate 50 Times Higher than U.S. Average
Three days after the Daily Wire wrote an expose about the notorious Colony Ridge Development in Liberty County, Scot Campbell, Chairman Emeritus of the Texas Land Development Association (TLDA), wrote an email to other TLDA board members.
The Daily Wire describes an owner-financing arrangement that “makes it possible for illegal aliens to buy land deep in the heart of Texas. While traditional financing methods require credit ratings and proof of income … buyers at Colony Ridge are able to circumvent the usual requirements, even dodging the need to provide a social security number.”
Traditional bank loans usually require a credit rating and proof of income. But owner financing obtained directly through Colony Ridge reportedly bypasses those traditional mortgage requirements. For a “few hundred dollars” as a down payment, buyers can own a piece of America.
The hitch: they might pay interest rates as high as 15%, according to the Daily Wire. And if they miss a payment, the owner may foreclose on their property and sell it again…with all the improvements that the previous buyer made. Some properties have been resold multiple times.
Merry Christmas from Colony Ridge, the world’s largest trailer park. Photographed on December 7, 2020.The developer reportedly foreclosed on 1900 properties that year.
Colony Ridge has also been criticized for marketing in Spanish but providing legal documents at closing in English to people who may not even speak the language.
But in his email to other TLDA board members, Scot Campbell describes the Daily Wire expose as “an attack on our industry.” [Emphasis added]
The Campbell email states, “The right wing … wants to stop all development of this nature. The left wants to knock us out of the market because we make money on the poor.”
He continues, “We will not be able to sell our developments if each of our buyers have to have a SS# and we have to qualify each buyer as to the buyer’s ability to repay.” [Emphasis added again]
“It will kill our industry and make our future resale of foreclosed lots worth a lot less than [before] because we will all be fighting over a few qualified buyers…”
Scot Campbell, Chairman Emeritus of TLDA
The remainder of the email describes criticisms of owner-financing practices from the political right and left.
“The right does not like our subdivisions [emphasis added again] because they believe they are a blight on the community” and the people “cannot speak English.”
Campbell says people on the left “think its evil to make money on poor people” and “charge higher interest.”
See the email below which responds to the Daily Wire article.
TLDA describes itself as a group that “works to prevent over-regulation by state and local governments by advocating for common-sense practices in land use and development.” Basically, it’s a lobbying organization.
Particularly worrisome in the email above is the plea to continue selling property to buyers, most of whom the association knows are unqualified. Scot Campbell apparently fears that might impact foreclosure mills in places like Liberty County and along the Mexican border. Developments like Colony Ridge operate throughout the state.
Source of Email
I obtained the email above from an ex-Colony Ridge land-owner-turned-activist named Maria Acevedo. Her property was foreclosed on after she complained about irregularities with the survey and the plat provided to her by the seller.
Investigative journalist Wayne Dolcefino exposed how properties in Colony Ridge are sold over and over again by the developer.
However, according to Acevedo, the legal documents for her foreclosure fail to comply with Texas law. This could affect thousands of foreclosures and resales in Liberty County. But more on that in a future story.
Ironically, the TLDA Chairman Emeritus concludes his memo saying that…
“Our industry does much to help the homeless problem.”
Scot Campbell, TLDA Chairman Emeritus
However, Campbell’s email does not describe how kicking people out of their homes would help the homeless problem.
For More Information about Colony Ridge
To learn more about the squalid living conditions in Colony Ridge, see History of Heartbreak: A Colony Ridge Chronicle. It contains links to more than 75 stories about substandard living conditions, poor infrastructure, and environmental issues in Colony Ridge.
Many of the latter impact downstream areas. For instance:
Sewage spills have affected water quality in the East Fork San Jacinto, its tributaries, and Lake Houston, the source of drinking water for 2 million people.
The thoughts expressed in this post represent opinions on matters of public concern and safety. They are protected by the First Amendment of the US Constitution and the Anti-SLAPP Statute of the Great State of Texas.
https://i0.wp.com/reduceflooding.com/wp-content/uploads/2025/02/Scot-Memo-scaled-e1739236271754.jpg?fit=1100%2C681&ssl=16811100adminadmin2025-02-10 21:48:352025-02-12 09:20:15TLDA Email Details Need to Exploit Immigrants
2/9/25 – Northpark Drive expansion has become a bewildering maze of lane switches and traffic barriers where SUVs tango daily with excavators and dump trucks. All of that makes for life in the slow lane … which can actually be a good thing given the potential for accidents.
Since my last construction update, contractors have removed the old:
Eastbound pavement between Kings Mill and Russell Palmer Road
Loop 494 Northbound pavement on both sides of Northpark
They have also substantially completed the installation of storm sewers underneath the westbound surface turn lanes that will parallel the bridge over the UnionPacific Railroad Tracks and Loop 494. However, crews still need to install many laterals.
Pictures Taken 2/9/25
I took all pictures below on 2/9/25. They show the status of construction. If traffic looks light in these photos, it’s likely because I took them during the pregame show for the Super Bowl.
Looking east from in front of Italiano’s.The old eastbound pavement has been completely removed.
Before contractors pour new concrete, they will have to install drainage, compact the dirt, prepare the base, and place rebar. All of that could take another month or more.
As soon as they finish the drainage on eastbound Northpark between Italiano’s and Russell Palmer the same crew will rotate to the northeast side of the Loop 494/Northpark intersection then the southeast side. Again, once the drainage is complete, they will begin to prepare the sub-grade, then rebar, then concrete paving.
Looking W from in front of Kings Mill Entrance (bottom left). Crews have spent the last several months installing large culverts.They have moved from E to W toward the railroad tracks. They still need to install some laterals.The surface turn lanes that parallel the bridge over the railroad tracks and Loop 494 will go in the area between the existing lanes (left) and the new power lines (right).Wider, longer turn lanes and thru lanes will also be installed on Loop 494, shown here looking south from over Northpark.
The southbound lanes of Loop 494 south of Northpark are complete! So are the driveways!
Ditto for the north side.On the west side of 494, some power lines that need to be moved are still holding up construction (see lower right).But farther west, two new lanes have been poured that now go all the way to US59 at the top of the frame.
The lookahead schedule posted on the Lake Houston Redevelopment Authority website shows major efforts for the next three weeks include installation of:
Fire lines, water lines, water meters
Box culverts and laterals
Sub grade and fine grade prep
In other words, no big concrete pours for a while.
https://i0.wp.com/reduceflooding.com/wp-content/uploads/2025/02/20250209-DJI_20250209145602_0847_D.jpg?fit=1100%2C619&ssl=16191100adminadmin2025-02-09 18:30:192025-02-10 14:49:14Northpark Drive Expansion Update: Life in the Slow Lane
Colony Ridge Foreclosure Notices Appear to Routinely Ignore Texas Law
The controversial Colony Ridge development in Liberty county, which targets Hispanics and which has been labeled a “foreclosure mill” by Texas Attorney General Ken Paxton, appears to routinely ignore Texas law when sending out foreclosure notices.
Section 51.0075 (e) of the Texas Property Code requires that “the name and a street address for a trustee or substitute trustees shall be disclosed on the notice required by Section 51.002 (b).” But all sampled Colony Ridge foreclosure notices do not include the trustee’s street address.
Nor do they include the location of foreclosure sales, which state law also requires.
These and other irregularities may explain why Paxton found the foreclosure rate in Colony Ridge is 50 times the national average.
They also could theoretically invalidate thousands of foreclosures, according to sources consulted for this post.
Colony Ridge Foreclosure Notices Contain No Street Address for Trustee
A random sampling of foreclosure notices for Liberty County properties outside of Colony Ridge shows that all trustees have complied with the street address provision.
However, a second sampling of foreclosure notices on properties inside Colony Ridge shows that none of the 58 notices contains a street address for the trustee. Instead, they include only a Post Office Box number.
In Texas, a “street address” includes the name and number of a building, along with the street or road it’s located on. It’s needed for driver’s licenses and other official documents, such as foreclosure notices.
According to ChatGPT, in Texas, foreclosure notices must include the street address of the trustee or substitute trustee to ensure transparency and accessibility for borrowers and interested parties. This requirement serves several key purposes. It:
Location of Foreclosure Sale Also Omitted
Texas law also requires that foreclosure notices include the location of the foreclosure sale itself.
Properties outside of Colony Ridge list this information. However, all 58 of these Colony Ridge foreclosure notices only say, “At a place designated by the Commissioner’s Court of Liberty County, Texas.”
People from south of the border may not know the customary location of such sales – at county courthouses. That makes it difficult for non-English speakers to figure out where to go if they want to bid on their property. It also increases the likelihood that foreclosures will sale through uncontested.
Finally, it helps explain why investigative journalist Wayne Dolcefino found that Colony Ridge successfully repurchased all properties in a foreclosure sale around Thanksgiving, 2020. In the first 11 months that year, the developer foreclosed on approximately 2,900 properties out of 22,956 that reportedly existed in the development at that time – 13% in less than a year.
Today, the development is at least 50% larger than Manhattan. So, the number of foreclosures each year since 2020 has likely increased.
Contested Foreclosures Possible And Other Implications
Failure to disclose such information could potentially invalidate a foreclosure sale if challenged in court. Texas foreclosure law is strict about proper notice requirements, and any defect in the notice could give borrowers grounds to contest the foreclosure. Here’s why:
1. Strict Compliance Required
2. Violation of Texas Property Code
3. Borrower’s Right to Challenge the Foreclosure
4. Lender May Have to Restart the Process
5. Trustee and Lender Liability
Bottom Line
According to one lawyer consulted for this post, missing addresses for the trustee and/or sale location represent serious defects that could invalidate a Texas foreclosure if properly challenged. If you or someone you know face foreclosure and notices are an issue, consulting a real estate attorney to explore your legal options may help.
Posted by Bob Rehak on 2/12/2025
2724 Days since Hurricane Harvey
The thoughts expressed in this post represent opinions on matters of public concern and safety. They are protected by the First Amendment of the US Constitution and the Anti-SLAPP Statute of the Great State of Texas.
TLDA Email Details Need to Exploit Immigrants
2/10/2025 – An email among a powerful association of real estate developers and mortgage lenders obtained by ReduceFlooding.com details why the group feels the need to exploit immigrants despite criticism of its businesses practices from both the left and the right. The email defends a business model knowingly based on a high percentage of unqualified buyers whose property is repossessed and resold.
Foreclosure Rate 50 Times Higher than U.S. Average
Three days after the Daily Wire wrote an expose about the notorious Colony Ridge Development in Liberty County, Scot Campbell, Chairman Emeritus of the Texas Land Development Association (TLDA), wrote an email to other TLDA board members.
The Daily Wire describes an owner-financing arrangement that “makes it possible for illegal aliens to buy land deep in the heart of Texas. While traditional financing methods require credit ratings and proof of income … buyers at Colony Ridge are able to circumvent the usual requirements, even dodging the need to provide a social security number.”
Traditional bank loans usually require a credit rating and proof of income. But owner financing obtained directly through Colony Ridge reportedly bypasses those traditional mortgage requirements. For a “few hundred dollars” as a down payment, buyers can own a piece of America.
The hitch: they might pay interest rates as high as 15%, according to the Daily Wire. And if they miss a payment, the owner may foreclose on their property and sell it again…with all the improvements that the previous buyer made. Some properties have been resold multiple times.
Colony Ridge has also been criticized for marketing in Spanish but providing legal documents at closing in English to people who may not even speak the language.
A multi-count lawsuit by the Texas Attorney General alleged deceptive trade practices and cited a foreclosure rate 50 times higher than the national average.
“An Attack on Our Industry”
But in his email to other TLDA board members, Scot Campbell describes the Daily Wire expose as “an attack on our industry.” [Emphasis added]
The Campbell email states, “The right wing … wants to stop all development of this nature. The left wants to knock us out of the market because we make money on the poor.”
He continues, “We will not be able to sell our developments if each of our buyers have to have a SS# and we have to qualify each buyer as to the buyer’s ability to repay.” [Emphasis added again]
The remainder of the email describes criticisms of owner-financing practices from the political right and left.
See the email below which responds to the Daily Wire article.
TLDA describes itself as a group that “works to prevent over-regulation by state and local governments by advocating for common-sense practices in land use and development.” Basically, it’s a lobbying organization.
Particularly worrisome in the email above is the plea to continue selling property to buyers, most of whom the association knows are unqualified. Scot Campbell apparently fears that might impact foreclosure mills in places like Liberty County and along the Mexican border. Developments like Colony Ridge operate throughout the state.
Source of Email
I obtained the email above from an ex-Colony Ridge land-owner-turned-activist named Maria Acevedo. Her property was foreclosed on after she complained about irregularities with the survey and the plat provided to her by the seller.
Investigative journalist Wayne Dolcefino exposed how properties in Colony Ridge are sold over and over again by the developer.
However, according to Acevedo, the legal documents for her foreclosure fail to comply with Texas law. This could affect thousands of foreclosures and resales in Liberty County. But more on that in a future story.
Ironically, the TLDA Chairman Emeritus concludes his memo saying that…
However, Campbell’s email does not describe how kicking people out of their homes would help the homeless problem.
For More Information about Colony Ridge
To learn more about the squalid living conditions in Colony Ridge, see History of Heartbreak: A Colony Ridge Chronicle. It contains links to more than 75 stories about substandard living conditions, poor infrastructure, and environmental issues in Colony Ridge.
Many of the latter impact downstream areas. For instance:
Posted by Bob Rehak on 2/10/25
2722 Days since Hurricane Harvey
The thoughts expressed in this post represent opinions on matters of public concern and safety. They are protected by the First Amendment of the US Constitution and the Anti-SLAPP Statute of the Great State of Texas.
Northpark Drive Expansion Update: Life in the Slow Lane
2/9/25 – Northpark Drive expansion has become a bewildering maze of lane switches and traffic barriers where SUVs tango daily with excavators and dump trucks. All of that makes for life in the slow lane … which can actually be a good thing given the potential for accidents.
Since my last construction update, contractors have removed the old:
They have also substantially completed the installation of storm sewers underneath the westbound surface turn lanes that will parallel the bridge over the UnionPacific Railroad Tracks and Loop 494. However, crews still need to install many laterals.
Pictures Taken 2/9/25
I took all pictures below on 2/9/25. They show the status of construction. If traffic looks light in these photos, it’s likely because I took them during the pregame show for the Super Bowl.
Before contractors pour new concrete, they will have to install drainage, compact the dirt, prepare the base, and place rebar. All of that could take another month or more.
As soon as they finish the drainage on eastbound Northpark between Italiano’s and Russell Palmer the same crew will rotate to the northeast side of the Loop 494/Northpark intersection then the southeast side. Again, once the drainage is complete, they will begin to prepare the sub-grade, then rebar, then concrete paving.
The southbound lanes of Loop 494 south of Northpark are complete! So are the driveways!
The lookahead schedule posted on the Lake Houston Redevelopment Authority website shows major efforts for the next three weeks include installation of:
In other words, no big concrete pours for a while.
For More Information
See the Lake Houston Redevelopment Authority project web pages. For a history of the project, see these select posts on ReduceFlooding.
Posted by Bob Rehak on 1/30/25
2711 Days since Hurricane Harvey