Federal Lawsuit Alleges Texas’ Colony Ridge Developers Preyed on Hispanic Borrowers, Exploited Language Barriers

An array of deceptive tactics was allegedly used to lure predominantly Hispanic residents, getting them to accept loans they often cannot afford.

The U.S. Department of Justice seal on the stage at the U.S. Department of Justice in Washington, on Dec. 5, 2019. Samuel Corum/Getty Images

The U.S. Department of Justice and the Consumer Financial Protection Bureau (CFPB) are suing the developers of the Colony Ridge community in Texas, an alleged haven for illegal immigrants, accusing those developers of using predatory tactics to attract home buyers.

Colony Ridge, also known as the Terrenos Houston community, is a 33,000-acre unincorporated residential area in Liberty County, about 40 miles northeast of Houston. The community has been in active development since at least 2011.