Fitch sees six months left on Stuy Town reserves

TRD New York /
Jan.January 22, 2009 03:03 PM

Fitch Ratings estimates there remained six months of interest reserves to pay interest on the loans for Stuyvesant Town and Peter Cooper Village on Manhattan’s East Side, in a statement released today.

After reviewing the 11,227-unit development’s 2009 budget and rent roll from the end of 2008, the bond analyst firm said the income from the development was not sufficient to pay the debt service. The debt service reserve has fallen from $400 million to $127.7 million, as of January 15, and the general reserve balance had been wiped out, the report said. Fitch did not expect cash flow to improve in 2009.

Trepp
, a firm that tracks commercial mortgages, separately told The Real Deal that from January 1 to September 30, 2008, Tishman Speyer, the owner of Stuyvesant Town and Peter Cooper Village, reported revenues of $210 million, with net operating income of $101 million. However, the debt service for the first nine months of the year was $147 million, Trepp reported. That would likely have forced the owner to make up the difference — $46 million — with its interest reserves.

Fitch said in the event of a default on the debt, the loan’s servicer Wachovia would “advance debt service on the trust portion.”


Related Articles

arrow_forward_ios
(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Hudson Yards megadevelopment inspires a new line of sex toys
Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio
Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Simon Property Group’s David Simon and Gap CEO Sonia Syngal (Getty, Wikipedia, iStock)

Simon strikes back at the Gap with $107M lawsuit

Simon strikes back at the Gap with $107M lawsuit
Deutsche Bank CEO Christian Sewing and President Donald Trump (Sewing by Thomas Lohnes/Getty Images; Trump by Drew Angerer/Getty Images)

Deutsche Bank probed in Manhattan DA’s Trump Org investigation

Deutsche Bank probed in Manhattan DA’s Trump Org investigation
Anna Wintour of Condé Nast, One World Trade Center and Douglas Durst (Wintour by Dia Dipasupil/Getty Images; 1WTC via iStock; Durst by Patrick McMullan via Getty Images)

Condé Nast wants out at 1WTC. Durst may not be OK with that

Condé Nast wants out at 1WTC. Durst may not be OK with that
New York’s real estate market is becoming two different stories: Manhattan, where deals are falling — and the suburbs, where demand is spiking. (iStock, Unsplash)

Manhattan is cold, the suburbs and Brooklyn are hot: Here’s what the resi market looked like in July

Manhattan is cold, the suburbs and Brooklyn are hot: Here’s what the resi market looked like in July
For the first time since the start of the coronavirus crisis, the percentage of CMBS loans that are more than a month behind on payments has gone down. (iStock)

TRD Insights: CMBS delinquencies decline as borrowers get relief

TRD Insights: CMBS delinquencies decline as borrowers get relief
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...