Madison Equities affiliate files for bankruptcy protection at East 92nd Street Marriott

New York /
Aug.August 17, 2011 03:29 PM

Madison 92nd Street Associates, an affiliate of Madison Equities and owner of the Upper East Side Courtyard by Marriott at 410 East 92nd Street, has filed for bankruptcy protection in an effort to prevent a foreclosure sale of the property and is working with Westport Capital Partners to line up refinancing, Bloomberg News reported. The corporation listed assets of as much as $500 million and debt of as much as $100 million, according to the filing.

The New York State Department of Taxation and Finance holds the biggest unsecured claim of $679,581, Bloomberg said, and lender General Electric Capital, owed $74 million, has scheduled a foreclosure sale for Aug. 24.

The property has been in financial trouble since 2008 when, just eight weeks after the owner sued the hotel’s management for allegedly making secret deals that hurt the bottom line, the lender on the property sued the owner to foreclose on a $62 million mortgage at the building.

Madison 92nd Street Associates opened the 226-room hotel at 410 East 92nd Street between First and York avenues in August 2006. It is managed by Courtyard Management Corp., a unit of Marriott International. [Bloomberg]


Related Articles

arrow_forward_ios
Judge Robert Drain and David Goldwasser (American Bankruptcy Institute, LinkedIn/Illustration by Kevin Rebong for The Real Deal)
How a White Plains judge became a favorite refuge for NYC developers
How a White Plains judge became a favorite refuge for NYC developers
Blue Moon Hotel fades into bankruptcy
Blue Moon Hotel fades into bankruptcy
Blue Moon Hotel fades into bankruptcy
Jekyll and Hyde at 91 7th Avenue South (Google Maps, iStock/Illustration by Steven Dilakian for The Real Deal)
Jekyll and Hyde Club files for bankruptcy with $1.5M owed in back rent
Jekyll and Hyde Club files for bankruptcy with $1.5M owed in back rent
Nate Paul of World Class Holdings and one of his Great Value Storage facilities (Great Value Storage, iStock)
Controversial Austin developer Nate Paul sells self storage portfolio for $588M
Controversial Austin developer Nate Paul sells self storage portfolio for $588M
David Aviram of Maverick Real Estate Partners (Maverick Real Estate Partners, LoopNet, Apartments.com, iStock/Photo Illustration by Steven Dilakian for The Real Deal)
Chaskiel Strulovitch’s Brooklyn bankruptcy saga nears end with auction
Chaskiel Strulovitch’s Brooklyn bankruptcy saga nears end with auction
Strulovitch lender Marvin Azrak of Maguire Capital with three of the landlord's buildings
Chaskiel Strulovitch saves 18 of his 31 buildings with costly loan
Chaskiel Strulovitch saves 18 of his 31 buildings with costly loan
Troubled Brooklyn landlord All Year files for Chapter 11
Troubled Brooklyn landlord All Year files for Chapter 11
Troubled Brooklyn landlord All Year files for Chapter 11
Bronx landlord could lose property after filing for wrong type of bankruptcy
Bronx landlord could lose property after filing for wrong type of bankruptcy
Bronx landlord could lose property after filing for wrong type of bankruptcy
arrow_forward_ios

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

Loading...