All Year settles with partner in Prospect Heights deed dispute

Apartment portfolio to be sold to 3rd party; embattled development firm will get a third of proceeds

New York /
Jun.June 28, 2021 05:05 PM
A selection of the properties, from left: 1020 Pacific Street, 818 Bergen Street, 483 St. Marks Avenue and 634 Classon Avenue (Google Maps, Kings County Supreme Court/Illustration by Alexis Manrodt for The Real Deal)

A selection of the properties, from left: 1020 Pacific Street, 818 Bergen Street, 483 St. Marks Avenue and 634 Classon Avenue (Google Maps, Kings County Supreme Court/Illustration by Alexis Manrodt for The Real Deal)

Embattled development firm All Year Holdings has one less lawsuit to worry about, at least.

Yoel Goldman’s company, which in March accused partner Zoltan Berkowitz of executing “illegitimate” deed transfers on 14 Prospect Heights apartment properties, has entered into a series of agreements to resolve the dispute. The Sunday filing was recorded on the Tel Aviv Stock Exchange.

The settlement entails the sale of the portfolio to a third party, and a sale agreement has already been signed. The deal is expected to generate $3.9 million in cash flow for the Goldman-Berkowitz joint venture after the repayment of existing debt, with $1.35 million going to All Year.

In March, All Year’s lawyers had warned that the deed dispute could have “broad ranging repercussions” for the firm’s four Tel Aviv-listed bond series. According to Sunday’s filing, “representatives of the bondholders gave their consent to enter” into the agreements.

Representatives for the parties did not immediately respond to requests for comment.

While Goldman remains All Year’s controlling shareholder, much of the firm’s business activities are now in the hands of externally appointed restructuring officers, who first stepped in late last year following a bond payment default.

The settled dispute surrounding the Prospects Heights portfolio, which Goldman and Berkowitz acquired for $16 million in 2014, pales in comparison to the hundred-million-dollar headaches All Year is facing at its trophy properties.

Two weeks ago, All Year found itself in the awkward position of suing Goldman himself, along with partner Zelig Weiss, over the ground lease for the William Vale Hotel in Williamsburg. The 183-key hotel and office complex backs All Year’s Series C bonds, which have a face value of nearly 580 million shekels, or $180 million.

In February, an All Year LLC declared bankruptcy to stop Mack Real Estate, which provided a $65 million mezzanine loan for one-half of the Denizen Bushwick luxury apartment project, from foreclosing on it. The entire 900-unit rental complex backs All Year’s Series E bonds, which have a face value of more than 820 million shekels, or $250 million.





    Related Articles

    arrow_forward_ios
    Mack Real Estate Group's Richard Mack and JPMorgan's Jamie Dimon with a rendering of 123 Melrose Street (Credit: Getty Images and ODA Architecture)
    Yoel Goldman sews up long-term funds for Rheingold Brewery Project
    Yoel Goldman sews up long-term funds for Rheingold Brewery Project
    Rabsky Group buying Gowanus parcel from Yoel Goldman for $95M: sources
    Rabsky Group buying Gowanus parcel from Yoel Goldman for $95M: sources
    Rabsky Group buying Gowanus parcel from Yoel Goldman for $95M: sources
    Douglas Durst, One Bryant Park, Robert Durst (Getty, Durst Org)
    Robert Durst’s nephew sues Durst family for cutting off trust payments
    Robert Durst’s nephew sues Durst family for cutting off trust payments
    Alex Rodriguez and Constantine Scurtis of Lynd (Getty)
    A-Rod gets 13 lawsuits dismissed that were filed by ex-brother-in-law over real estate empire
    A-Rod gets 13 lawsuits dismissed that were filed by ex-brother-in-law over real estate empire
    Two more rent law challenges tossed, landlords reserve hope in appeal
    Two more rent law challenges tossed, landlords rest hopes on appeal
    Two more rent law challenges tossed, landlords rest hopes on appeal
    National Association of Realtors moves to block antitrust probe
    National Association of Realtors moves to block antitrust probe
    National Association of Realtors moves to block antitrust probe
    NBA store settles rent-collection lawsuit suit with landlord Moinian Group
    NBA store settles rent-collection lawsuit suit with landlord Moinian Group
    NBA store settles rent-collection lawsuit suit with landlord Moinian Group
    SJP Properties CEO  Steven Pozycki and 200 Amsterdam (SJP, 200 Amsterdam)
    SJP claims final victory in 200 Amsterdam fight
    SJP claims final victory in 200 Amsterdam fight
    arrow_forward_ios

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

    Loading...