Gigi & Bella Hadid's Dad Files For Bankruptcy After Disastrous Attempt To Remodel Bel-Air Mansion
The company owned by Mohamed Hadid - the father of models Gigi and Bella Hadid - has filed Chapter 11 bankruptcy after he failed to remodel a gigantic, unfurnished $100 million mansion in Bel-Air, California. According to a new report, Mohamed created 901 Strada, LLC to manage the remodel of the property; but, he has accrued so much debt that it’s time to restructure.
The Blast is reporting that Mohamed filed the bankruptcy petition in a California court on November 27th, and he listed the company’s assets between $10 and $50 million, which is the same range of his liabilities.
Mohamed claimed that his debts included nearly $400K to Ral Design and Management, $200K to Ace Building Materials, $104K to a law firm, $46K for welding services, $93K to a demolition company, and $35K for plumbing and other debt related to the 30,000 square-foot home.
The ex-husband of former Real Housewives of Beverly Hills star Yolanda Hadid has caused some serious drama in the Bel-Air neighborhood where he attempted to remodel the mansion. For more than a year, Mohamed has been at war with his neighbors and local officials over construction, and he’s also accused neighbors of trying to extort him.
A judge recently ordered Mohamed to demolish the entire home - which has been nicknamed “Starship Enterprises” because it posed a “clear and present danger” to the neighborhood. During the court hearing, a structural engineer claimed Mohamed wasn’t building the home according to California regulations, and cited the fact that the supporting piles under the home were significantly under the 30-foot requirement.
“If this house came down the hill, it would take a portion of the neighborhood with it,” said the judge.
Mohamed was ordered to pay $500,000 to a court-appointed official, who is now in charge of the home’s demolition which will reportedly cost around $5 million. He was also able to avoid jail time after the City of Los Angeles filed criminal charges against him for violating the city and state’s building codes.
Mohamed Hadid pleaded no contest to the charges brought by the city and was sentenced to three years probation.
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