LNR ordered to pay for repairs at foreclosed Bronx apartments

December 10, 2010 04:39PM

Special servicer LNR Property was ordered this morning to pay up for the $2.5 million in repairs needed at 10 foreclosed Bronx apartment buildings by next Friday, after State Supreme Court Judge Stanley Green lifted the company’s stay on the enforcement of his September decision, according to Crain’s. Florida-based LNR took over the portfolio of dilapidated buildings earlier this year after Los Angeles-based Milbank Real Estate, which purchased them at the height of the market, defaulted on its $35 million mortgage. The lender has been trying to sell off the mortgage to no avail, as it has refused to take a loss on the loan and the properties are said to require tens of millions in renovation work. “After due consideration of the extreme circumstances faced by the tenants, and weighing the relative hardships, the court finds that lifting plaintiff’s stay pending appeal is an appropriate exercise of discretion,” Green wrote in his decision. [Crain’s]