- 19 - the unit 10 lots, Paullus outlined a plan to the board for a joint venture with outside investors. Ridgemark would contribute the unit 10 lots that would be utilized for the venture. The purchase and transfer of the unit 10 property was completed on March 27, 1989, for a final gross selling price of $11,250,000. On April 7, 1989, Paullus exercised his option to purchase the outstanding shares of his fellow shareholders in Ridgemark. After the transaction, petitioners personally owned 36.32 percent of Ridgemark's outstanding shares. Paullus, along with his wife, were also the trustees of the Loren and Donna Paullus Family Trust, which owned 35.02 percent of Ridgemark’s outstanding shares. In 1990, Ridgemark sold its golf courses, clubhouses, and recreational facilities for $12 million to the members of Ridgemark Golf and Country Club. The property acquired by Ridgemark as an exchange consisted of approximately 2,261 acres (the Paicines property). The Paicines property was acquired with the intention of developing a new and expanded golf course and resort facility. Approximately 1,000 acres were contemplated for five or six golf courses, clubhouses, and appurtenant buildings. To obtain a better financing note, the Paicines property was zoned for residential purposes. From 1980 to 1993, Ridgemark filed statements with the State of California, and in the space for the “type of business”, the following was reflected:Page: Previous 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Next
Last modified: May 25, 2011