By Moneth G. Deposa
Variety News Staff

THE Commonwealth Development Authority has selected the company that will take over Sunset Villa which CDA has been operating since its foreclosure in 2001.
CDA acting executive director Oscar Camacho on Friday said the board selected the La Paloma firm and is now finalizing the details of an agreement set to be completed this month.
“The board selected the group, La Paloma, for Sunset Villa. The company will make $500,000 in an immediate payment and $3,000 a month for the next 41 years,” Camacho told Variety, adding that the property involves a 55-year lease amounting to $1.9 million.
Camacho said the company, which has a local office here, has branches in Japan and Los Angeles.
CDA paid $990,000 for the property when it foreclosed in 2001.
“This is the best offer so far and the board is finalizing the details of the agreement,” Camacho said, adding that after several years of incurring losses in operating the property, the agency stands to benefit by its sale.
The villa was owned by former Rep. Victor Hocog.
CDA wanted to sell the villa for $1.2 million.
It is the only beach front hotel on Rota and is only a few minutes away from an 18-hole golf course overlooking the ocean.
The hotel has 14 unit rooms — six cottages, four deluxe and four super deluxe with an ocean view. Its second floor is yet to be finished.
On Friday, Camacho said five other properties in Garapan, San Vicente, and Chalan Kanoa were auctioned off by CDA.
Since June last year, CDA has foreclosed on 12 properties worth about $2.3 million. These include a fully furnished two-story, four-bedroom residential house in Sinapalo, Rota, which has a market value of $230,000.
Also for sale is the Pacific Castle, a 10,000-square meter former entertainment facility, located across from Coral Ocean Point in Koblerville.
Pacific Castle’s original loan with CDA was $1.3 million but the agency said it’s market value now is between $510,000 and $638,000.
CDA said about 80 more foreclosure cases are pending.
It has reported a delinquency rate of 60 percent on loans this year, which amounts to $13.7 million.