A deal among boyhood friends and business partners turned business enemies is done, with Gary Kirke owning a principal share of the sprawling South of Grand estate of Bill Van Orsdel.
Polk County property records show that parcels of land and structures totaling 11,000 square feet were deeded Friday to Kirke, A. Terry Moss, Robert Horner and Robert Pulver, all former partners along with Van Orsdel in the tony West Glen Town Center in West Des Moines.
The deeds were transferred as a part of an uncontested foreclosure agreement between the Kirke group and Van Orsdel that resulted from a court judgment in 2011. Kirke, Moss, Horner and Pulver, as members of West Glen Town Center LLC, filed a lawsuit that year claiming that Van Orsdel had reneged on loan obligations and engaged in various forms of fraud while managing West Glen from 2004 to 2009.
Van Orsdel agreed to a $9.6 million judgment in that case and mortgaged several South of Grand properties to his former business partners to secure the debt.
According to property records, Van Orsdel relinquished an 8,689-square-foot residence at 3407 Lincoln Place Drive and an adjoining 3,000-square-foot residence that had a combined assessed value of $2.5 million. According to property records, the transaction would erase $2.2 million in debt still owing to the partners. That amount is "substantially" less that the total amount due against the court judgment, according to the foreclosure agreement.
Under the agreement, Kirke has a 79.6 percent stake in the property, Moss has 8.5 percent, Pulver has 6.8 percent and Horner has 5.1 percent.
In February, Van Orsdel sold nearly five acres of land and buildings on what commonly is called "Wicker Park" to Jeff and Kim Young and an entity controlled by them for a total of $1.2 million. That property also had been secured by the mortgage with the West Glen partners.
All five men were the remaining partners in a development group that created West Glen as an upscale residential, commercial and entertainment community. As result of the tanking of financial markets and retail trade that accompanied the Great Recession, lenders placed the center under receiverships.
West Glen was was sold in early 2012 to a Nebraska-based investment group.