Tishman Group Nears Restructuring or Sale of Stuyvesant Town

stevejhx...going forward do you see new owners changing the rent structure or continuing the $3100 for a one bedroom rents.

julia, I have no idea what will happen at the complex. I do know some free-market renters there who have gotten on the list for stabilized apartments, though.

The bigger news is the precipitous fall in the value of the place. Too bad homeowners don't realize that the halcyon days are gone - as inventories rise and rise and rise.

Just wonder if this lawsuit win will turn out to be a pyrrhic victory for the tenants

now were starting to see how mispriced manhattan RE is.

murray, they would not have made it with or without the victory. the development was valued at slightly more than $2 billion before the suit, $1.8 billion after the court's decision. and the real issue is reserves. they run out next month.

the rents, with the exception of certain market rentals from recent years, and the PCV two bedrooms, won't be that different. if TS had held on they probably would have tried to continue evicting just to get the vacancy increase allowances.

Aboutready, see if you can make some calls this morning and get some money out of this.

Too bad the owners won't turn the place coop or condo and bring a bunch of new units on the market.

Fannie owns the senior tranche. Glad to see they are not only an exert on single family lending.

ah: phone booth exchange?

The city has been trying to house more homeless, Perhaps an arragement could be made to temporarily house the jobless there instead of in shelters. Seems in keeping with the spirit of public housing.

there's space at the rushmore.

The tax payers would get more bang for the buck at Stuvesant Town. We could house multiples more @ Peter Coopers than we could ever hope to at $1400 a square foot condos. With the governmenet control of the senior debt portion, we'd have more flexibility in persuing a housing for homeless plan @ peter cooper. We have to be compassionate towards those that are less fortunate.

where's your alter ego? bring back hfscomm. its been too long.

Unless I am misreading the numbers, am I the only one who is confused as to how any restructuring could take place, or even a sale which preserved ANY of the debt holders above the senior bond holders? Who is going to come in and give them any money for a property which will remain under water after a sale? The only way I see a deal being made is for a sale to go to someone who has made significant campaign contributions to get someone with clout in the Federal Government to step in and claim how it's in the public interest for them to own this place and therefore part of the Freddie piece should be written off for the public good.

30yrs - this is the problem - nobody really cares if TS fails - but letting ST/PCV go down the tubes is a problem, a political problem for NY. Federal - who will care? Aid to the entitled? This isn't like the car companies or the banks - affecting the nation - this only affects NY, and we know NY doesn't get a whole lot of sympathy from the rest of the country (and in this case, may not get a whole lot of sympathy from NY).

See my earlier comment re: pyrrhic victory - complex suffers as this whole thing gets "worked out" - tenants will NOT get a bargain price for apartments, but, will, short term, get a whole lot let service.

less service

oh don't be overdramatic. the fannie and freddie debt is covered, i believe, by the value of the complex. and regarding the law suit, it is a bit of a complication but not the reason for the failure.

there may not be much sympathy for new york and new yorkers, but there's even less for fannie and freddie. if you don't think the tenants here have some connections in very high places, legally, journalistically, etc., you'd be wrong. how do you think it will look if fannie and freddie let an enclave for returning veterans (regardless of the accuracy of that description that is how it will be spun) go to the shitter? sadly, other large developments may not have such leverage.

of course there will be less service, there already has been. took me a couple of tries to get that toilet seat, the place looks like crap, etc. but nobody can bitch like the tenants here, and i'd imagine it would be very well publicized if the heat and water weren't available.

fannie and freddie let an enclave for returning veterans (regardless of the accuracy)

?????????????????? What are you saying?

Perhaps I wasn't being clear in what I was implying. Given:
a) the fannie and freddie debt is covered,
b) how do you think it will look if fannie and freddie let an enclave for returning veterans (regardless of the accuracy of that description that is how it will be spun) go to the shitter?
c) nobody can bitch like the tenants here
d) nobody really cares if TS fails - but letting ST/PCV go down the tubes is a problem,

I see someone well connected getting a bargain at the expense of the taxpayer since the only party involved which REALLY has the ability to do anything is Fanny/Freddie, but that "ability" is to give away taxpayer $.

Let's play "Clue"

nytimes.com/1995/06/18/nyregion/neighborhood-report-harlem-helping-the-renaissance-ballroom-live-up-to-its-name.html

nytimes.com/1997/01/19/nyregion/renaissance-ballroom-lost-for-1000.html

nytimes.com/1997/02/02/nyregion/the-latest-steps-in-a-ballroom-contest.html

nydailynews.com/archives/money/1999/02/18/1999-02-18_harlem_landmarks_to_be_reborn.html

Resolution Trust never offered those mortgages for sale thru auction or any of the other methods it was supposed to use when they were charged with liquidating the assets of various S&L's at below face (and clearly they were worth face). Who did they go to ? A group with a lot of influence in the area of a certain Ways and Means Congressman with 4 rent stabilized apartments; who failed to disclose in his federal filings income that he'd earned from renting out the luxury villa in the Dominican Republic, which he has owned for 20 years; whowanted permission from the Federal Election Commission to use $64,500 from his "leadership" political-action committee and campaign account to commission an elaborate portrait of himself to hang in the Ways and Means Committee room; and who used a House of Representatives parking garage for years as free storage space for his old Mercedes-Benz.

The complex is now valued at 1.8B. Why not have the tenants put in a bid at 2.8 or
3B?

3B works out to an average of $267K an apartment. Maybe keep a percentage of
them middle income/Raise the price to $350K. Everyone wins, Fannie/Freddie
get their $$$ back, tenants get a hell of a deal on an apt and middle income
housing is preserved.

Can it be that simple?

Tenants are renters.

Suddenly after their lifelong of renting they want to buy?

if its valued at !.8; why not offer !.6? who's gonna come in and offer more?