Congregation Beth David — the San Luis Obispo synagogue slated for auction Tuesday because it was in foreclosure — announced today that it has reached an agreement with Mission Community Bank.
Gregg Loberstein, co-president of the congregation’s board of directors, would not disclose the terms of the settlement, saying he had signed a confidentiality agreement with the bank preventing him from doing so.
The congregation, which built a new home four years ago near the corner of Los Osos Valley Road and Foothill Boulevard in San Luis Obispo, defaulted on a $3.3 million loan owed to Mission Community Bank late last year.
Synagogue leaders previously said that the bank is willing to forgive $1 million in principal — leaving the congregation to raise $2.3 million or vacate the property.
The congregation's Facebook page, tracking the progress of donations since the synagogue publicly announced the looming foreclosure April 19, last reported that the congregation had raised $2.1 million of the needed $2.3 million.
Loberstein would not disclose if that was the final amount of money raised.
Pledges totaling more than $1 million from member families were collected as a nonregistered offering, which will be used to form a corporation to pay off the loan and extend it another 20 years. The rest came from donations.