Flipping houses fall-out

(Park Record) An ongoing 3rd District Court case that began in 2007 reveals a snapshot of the kinds of real estate speculation blamed for causing the recession. The case involves former Park City Planning Commissioner Evan Russack and a possible state investigation of a local developer.

According to the lawsuit filed by Park City developer Andy Levine against a Hollywood-based chef named Robert Lamkin, Lamkin agreed to be an investor for Levine. They began building homes on lots in Deer Valley and at Promontory in 2005.

On Sept. 26, 2007, Lamkin demanded Levine and the builders, Legacy Construction, halt work on the homes at 20 Foxwood Court and 8156 North Ranch Club Trail. Lamkin claimed the builder was going over budget and the developer was mismanaging the construction loans and not representing his best interests as a business partner.

A few months later the law offices of Joe Wrona filed a complaint with the court against Lamkin for halting the construction. Lamkin then sued Levine Development and later Legacy Construction. Two weeks ago, Lamkin and Legacy settled, but the case between Lamkin and Levine is ongoing.

During the process of discovery in which each legal side interviewed witnesses to gather information, several people under oath during depositions testified that questionable practices were common during the residential building bubble.

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