Irving Langer is breathing easier these days.
The multifamily giant, who has been selling off properties outside New York City, has paid off a defaulted loan he used to leverage his 3,000-unit multifamily portfolio.
Langer’s E&M Management recently retired the last $16 million of a $42 million loan from Churchill Real Estate that the investor had used to finance his equity stake in the 42-building portfolio.
E&M defaulted on the loan last year, which left Langer vulnerable to a UCC foreclosure on his ownership stake in the portfolio. But after negotiating with the lender for more time and restructuring the loan, Langer sold properties in upstate New York, Miami and Texas and retired the debt.
“We were able to work with him to give him more time to repay us,” Churchill founding partner Sorabh Maheshwari said.
Langer did not immediately respond to a request for comment. The multifamily owner was in the market last spring looking for a preferred equity investor to help refinance his position, but it appears that financing never materialized.
Earlier this year E&M sold a portfolio of about 500 rental units in Kingston, New York, a modest city in the Hudson Valley where the company has a large presence.
Langer also sold his Miami penthouse condo earlier this year at a loss.