Pendleton Green Associates v. Anchor Savings Bank

On the Merits

YOUNG, Justice.

This appeal resulted from the trial court’s denial of appellants’ application to temporarily enjoin appellees from foreclosing their first lien on Pendleton Green Apartments in Harlingen, Texas.

The facts are undisputed. Appellants obtained interim financing for the construction of the apartment complex from Rio Grande Building and Loan Association, an affiliate of appellee — Flynn Investment Company. As construction costs escalated throughout 1973, appellants determined that the project would require permanent financing in the amount of $1,400,000.

Appellants…