ALBAWABA - Palestinian Businessman and father of Bella Hadid, Mohamed Hadid made headlines after he filed for bankruptcy last week in the wake of a long legal battle in real estate.
According to The Real Deal Real Estate News and California bankruptcy court filing, Tree Lane LLC which is under Mohamed Hadid filed for a Chapter 11 reorganization on Apr. 25, 2024. The announcement came after Mohamed was forced to demolish his mansion in Los Angeles which he couldn't commit to because of his inability to pay for it.
The decision to demolish the luxurious mansion which resembles a spaceship came after Mohamed's neighbors complained about it because it "didn't conform to the area's building specifications", which poses a danger to the residents there.
Bella Hadid's father Mohamed Hadiddeclares bankruptcy
Tree Lane LLC was supposed to pay $54.6 million in legal fees to the creditors in addition to about $260,000 to other various contractors. Moreover, the association claimed that in Sep. 2023, the Bella Vista Property Owners Association claimed the property due to $48,893 in outstanding fees and by Nov. 2023, Hadid's association received a notice of $66,200 in unpaid fees.
According to Erem News, Mohamed Hadid has been facing real-estate challenges for a while now in 2022 Skylark Capital Management filed a lawsuit against his property mentioned above after failing to pay the $31.3 million loan he took from the company in 2018.
(Photo by Ammar ABD RABBO / Red Sea Film Festival / AFP)
Additionally, his company suffered further damage after the failure of two real-estate projects such as the Strada Vecchia and 9650 Cedarbrook. This also came with being unable to pay the workers' wages during the construction phases.
