Southern Bancorp has formally offered to loan up to $5.1 million to end a foreclosure lawsuit against the Madison Heights apartment complex that has bedeviled the Little Rock housing authority.

Nadine Jarmon, the housing authority's executive director, circulated Southern Bancorp's commitment letter to board members of the housing authority as well as its nonprofit affiliate, the Central Arkansas Housing Corporation, on Thursday evening via email.

She noted the favorable elements of the proposal, including the 6.5% interest rate offered by Southern Bancorp, which is lower than the 9% interest rate on the existing debt.

Additionally, Southern Bancorp was able to get the current lender to reduce the amount owed to $4.6 million, Jarmon wrote. The plaintiff in the foreclosure lawsuit was se

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