Complaint Review: Fred Straub - Wappinger Falls New York

Fred and Diane Straub were stunned today when a friend told me to look at the report that is posted on this website.

Diane and I would like to point out the inaccuracies in this report.

Project 1: Vineyard Commons 

#1 The planned condo community was converted to a 55 and older rental project, not an assisted living project.  Yes, there are private investors who lost money at Vineyrad Commons along with many others when the housing bubble burst. The project did go into default with HUD.

#2 Like the private investors, Fred and Diane invested $280,000 of their total IRA monies into this project in order to get Vineyard Commons approved by the Town Of Lloyd. 

#3 Prior to the HUD Construction Loan closing, Fred and Diane Straub gave their shares in the project to the Managing Member so she could sell these shares to generate money to close on the HUD Loan.  I have no knowledge of how she handled the sell of these shares to generate money.

#4  Fred and Diane Straub accepted a Promissory Note for the $280,000 dollars from the Managing Member.  We have not received a dime of that money.  If anybody doubts this is what happened, please contact  Kevin  Barry in Poughkeepsie, NY, the attorney who represented Vineyard Commons at that time.

Project #2: Orchard Hills

#1.  Fred Straub was involved in getting a prelimminary $50 million dollar loan with HUD for this project.  However after looking at the costs and the possible rental income, I decided not to go forward and walked away from the invitation to proceed with HUD to obtain the $50 million dollar loan to build the project.

#2 I also spoke to John Scanlon, President of Scanlon Construction, and advised him not to go forward with this project.  If anyone doubts me please contact the HUD Map lender, Metropolitan Funding NY, NY.

Poject #3: Highland Square

#1 Fred Straub was involved in the initial approval process for this project. However after having to accept a Promissory Note for funds invested at Vineyard Commons,  I gave up my percentage of interst in the Highland Square project.  I received payment of $125,000 for my shares and again accepted a Promissory Note for $600,000 dollars from the members of Highland Square LLC.  I have not received any of the $600,000 dollars.

#2  Fred and Diane Straub were not involved with any other transactions concerning the Highland Sqaure  approvals and was not involved with the $5 million dollar loan from Universal Forrest Products which was used to purcahse the land, and we are not involved in the subsequent lawsuit between Highland Sqaure and Universal Forrest Products.  If anybody doubts this they can contact Universal Forrest Products.  Fred and Diane continue to do business with Universal Forrest Products.

I would also like to address the accusation that we are "bankrupt home builders".  We have been in the building and development business for over forty two years.  I have had tens of millions of dollars in lines of credit from many banks and have never filed for bankruptcy.

I sincerely hope that this rebuttal will be read by the previous readers of this inaccurate report.

If "Mr. Anonymous" would like to discuss this rebuttal, he can contact me at 914-403-8943.

I also believe in the first amendment right of freedom of speech, however when speaking and reporting that what you say is the truth, you should know all of the facts, and have the guts to put your name on the article.

Fred and Diane Straub