Fate of Stuy Town still up in the air

New York /
Sep.September 02, 2010 03:30 PM

Stuyvesant Town

A New York State Supreme Court judge postponed ruling today on whether a joint venture can foreclose on Stuyvesant Town and Peter Cooper Village. Judge Richard Lowe indicated he would likely rule later this month in the case over the 11,000-unit East Side complex, Crain’s reported. Over the summer, a joint venture between hedge fund manager Bill Ackman’s Pershing Square Capital Management and Winthrop Realty Services acquired a $300 million mezzanine loan for just $45 million, with plans to foreclose on the property in an auction Aug. 25. However, Bank of America and U.S. Bancorp, acting as trustees for the complex’s senior lenders, sued to block the foreclosure, alleging that the venture was breaching terms of the inter-creditor agreement, The senior lenders, who hold the $3 billion mortgage on the complex, also want to foreclose on the property. Earlier this year, a Tishman Speyer-led partnership defaulted on the mortgage. Since then, special servicer CW Capital, representing the interests of the senior lenders, has been working to ensure the property is maintained and preparing for an orderly foreclosure. [Crain’s]

 

Related Articles

arrow_forward_ios
Lenders are being stingy about granting home equity lines of credit. (iStock)
Home values are up, but just try getting a line of credit
Home values are up, but just try getting a line of credit
The Grace Building at 1114 Sixth Avenue (Photo via Wikipedia Commons)
Here’s what tenants are paying at Brookfield & Swig’s Grace Building
Here’s what tenants are paying at Brookfield & Swig’s Grace Building
The Grace Building (Google Maps, Brookfield, iStock)
Brookfield and Swig land $1.3B refi of Grace Building
Brookfield and Swig land $1.3B refi of Grace Building
Airbnb's Brian Chesky and Bill Ackman (Getty)
Bill Ackman on Airbnb: “I wouldn’t use the word rebuff”
Bill Ackman on Airbnb: “I wouldn’t use the word rebuff”
Acting US Attorney for Eastern District of New York Seth DuCharme and Bank of America CEO Brian Moynihan (Getty, Twitter, iStock)
Bank of America will pay $300K to settle DOJ mortgage lending discrimination claim
Bank of America will pay $300K to settle DOJ mortgage lending discrimination claim
Keith Meister and Bill Ackman (Credit: Meister by Patrick McMullan/Patrick McMullan via Getty Images, Ackman by Sylvain Gaboury/Patrick McMullan via Getty Images, iStock)
Activist investors dive in as real estate stocks tank
Activist investors dive in as real estate stocks tank
The Coca-Cola building at 711 Fifth Avenue and Michael Shvo (Credit: Google Maps)
Michael Shvo, partners secure $545M loan for Coca-Cola building
Michael Shvo, partners secure $545M loan for Coca-Cola building
Bill Ackman, LeBron James, and Arnold Schwarzenegger with 787 11th Avenue (Credit: Google Maps and Getty Images)
Celebrity property group caught in $11M construction dispute
Celebrity property group caught in $11M construction dispute
arrow_forward_ios

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

Loading...