Uncertain future for Tribeca building

New York /
Apr.April 02, 2012 12:00 PM

The future of 56 Walker Street, a mixed residential and commercial building owned by Guy Morris, hangs in limbo, the New York Times reported. A 2007 loan agreement went into foreclosure proceedings and the building’s owning entity, 56 Walker Street LLC, has declared bankruptcy, according to the Times.

In 2007, the Times reported, Morris signed an $11.3 million loan with Broadway Bank and Wexford/HPC Mortgage Company to pay off a previous loan and to pay off condominium construction. However, the lenders did not provide the money. The Times wrote that WexTrust went into receivership and two of its executives pleaded guilty to charges of federal fraud. Broadway Bank in Chicago was shut down in 2010.

Last week, a judge presiding over the bankruptcy appointed a Chapter 11 trustee to replace Morris and the building’s current management.

Morris purchased the building back in 2003 for $3 million. Originally, he planned to add a floor to the building’s existing five stories, build condominiums on the floors and use money from their sales to pay for construction and to help subsidize a news program, the International News Net World Report, that operated out of a room on the second floor. [NYT]


Related Articles

arrow_forward_ios
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
 Fredrik Eklund and the property (Getty, Steve Frankel)
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Gordon Ramsey and his Lucky Cat restaurant (Lucky Cat)
Gordon Ramsay to open first South Florida restaurant in Miami Beach
Gordon Ramsay to open first South Florida restaurant in Miami Beach
Pennsylvania town offers big incentive for people to fix homes
Pennsylvania town offers big incentive for people to fix homes
Pennsylvania town offers big incentive for people to fix homes
Credit Suisse Group partners with MARK on $1B-plus rental housing fund
Credit Suisse Group partners with MARK on $1B-plus rental housing fund
Credit Suisse Group partners with MARK on $1B-plus rental housing fund
London fire officials say over 1K buildings unsafe in a fire
London fire officials say over 1K buildings unsafe in a fire
London fire officials say over 1K buildings unsafe in a fire
The Centre at Purchase at 1, 2, 3, 4 Manhattanville Road with George Comfort & Sons CEO Peter Duncan (George Comfort & Sons)
Westchester office park owned by George Comfort & Sons slated for auction
Westchester office park owned by George Comfort & Sons slated for auction
Wells Fargo hit with $400M suit for breach of contract linked to robo-signing scandal
Wells Fargo hit with $400M suit for breach of contract linked to robo-signing scandal
Wells Fargo hit with $400M suit for breach of contract linked to robo-signing scandal
arrow_forward_ios

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

Loading...