Angelo Gordon dumps half its shares in Brookfield DTLA fund
Investor sold up to $1M stake earlier this month after Brookfield reported loan defaults
Angelo Gordon has dumped half of its stake in the public entity that owns Brookfield’s Downtown L.A. portfolio.
The Los Angeles-based investment firm sold 328,000 shares between Feb. 13 and March 3, according to a Securities & Exchange Commission filing last week.
Depending on when the shares were sold, the price could have ranged between $2.35 and $3.30 a share, putting the stake’s value between $771,000 and $1.08 million.
Angelo Gordon still owns 323,900 shares in Brookfield DTLA Fund Office Trust Investor, which owns about 7.6 million square feet across six office buildings, one retail property and a multifamily complex in Downtown L.A.
The Brookfield unit’s stock price has steadily declined over the last three years, but dipped to a new low of $2.20 a share on Feb. 16 — a 93 percent decrease from its high of $30 a share in November 2017.
That dip came after Brookfield declared it had defaulted on $784 million worth of loans connected to two of its office towers.
Brookfield said it declined to extend the maturity on $465 million in loans connected to the 52-story Gas Company Tower, and did not obtain a rate cap on two loans connected to the 52-story office building at 777 South Figueroa Street. Lenders on the properties have not yet filed for foreclosure, though they have the legal right to do so.
Angelo Gordon first reported a 8.98 percent ownership stake in the entity in 2019, which came out to about 874,000 shares. At the time, its share would have been worth $17.5 million.
But since then, it whittled down its stake to 6.7 percent, or 652,000 shares, which were last reported on Feb. 13, SEC filings show.
Angelo Gordon owns its remaining shares in the entity on behalf of Botticelli LLC, a Delaware-registered entity, according to the SEC filing.