Creditor Said to Seek Stuyvesant Town Manager Removal
Started by notadmin
about 16 years ago
Posts: 3835
Member since: Jul 2008
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AR, this might interest you: By David M. Levitt and Jonathan Keehner Jan. 22 (Bloomberg) -- A Stuyvesant Town-Peter Cooper Village creditor is seeking to remove Tishman Speyer Properties LP as manager of the property, Manhattan’s largest apartment complex, according to three people familiar with the matter. Tishman, which bought the 80-acre property with BlackRock Realty Inc. in 2006 for $5.4... [more]
AR, this might interest you:
By David M. Levitt and Jonathan Keehner
Jan. 22 (Bloomberg) -- A Stuyvesant Town-Peter Cooper Village creditor is seeking to remove Tishman Speyer Properties LP as manager of the property, Manhattan’s largest apartment complex, according to three people familiar with the matter.
Tishman, which bought the 80-acre property with BlackRock Realty Inc. in 2006 for $5.4 billion, missed a $16.1 million debt payment on Jan. 8. Special servicers have been appointed to represent creditors in a potential restructuring. Gramercy Capital Corp., which holds some of the debt, asked its servicer to make the change, according to two of the people, who asked not to be named because the negotiations are private.
Removing Tishman as property manager probably would have to be approved by CW Capital, the special servicer for the senior portion of the debt, one of the people said. A Winthrop Realty Trust affiliate, leading a group that holds about $300 million in senior mezzanine debt, said in a letter last week it intends to pursue “rights and remedies,” including a foreclosure sale.
“If there is a change in management, we will want it to be seamless, without any disruption to tenants or reduction in service,” said New York City Councilman and Peter Cooper Village resident Daniel Garodnick, according to an e-mailed statement.
The complex, which has 11,200 apartments, is at risk of becoming the second-largest default in a commercial mortgage- backed security, behind the $4.1 billion default by Extended Stay America Inc. hotels last year, according to Fitch Ratings.
Bud Perrone, a Tishman spokesman, declined to comment. Messages left for officials at CW Capital and Gramercy Capital weren’t immediately returned.
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Response by aboutready
about 16 years ago
Posts: 16354
Member since: Oct 2007
there's some weird stuff going on here right now. i had heard about the mezzanine debt holders intentions, but not about the effort to remove TS. TS, from what i've heard and read, has been disseminating some very strange information to new renters, indicating that they will be going back to court, that their leases are "market rate with some RS protections," etc.
thanks for the post.
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Response by notadmin
about 16 years ago
Posts: 3835
Member since: Jul 2008
watching how this unfolds is interesting. there are many landlords with over leveraged RS buildings running negative cash flows (predatory equity gone bust). it might shred light into what's gonna happen with these other buildings.
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Response by julia
about 16 years ago
Posts: 2841
Member since: Feb 2007
Ar....when the rental agents called me (twice) about an apartment they said the leases were marketrate. I wonder if cccharley signed a lease for the apartment.
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Response by cccharley
about 16 years ago
Posts: 903
Member since: Sep 2008
Julia I signed a lease at the so called stabilized rate - not sure had they got to that. They said we pay the lesser of the 2 - stabilized or market rent - they considered market rate some foolish number over $3k then took 2 months free and prorated it. They offered a 2 year at around 3-4% more per month. I took a one year because who knows if I'll like it, what's going to happen, if they release all those other apts they are sitting on -I really want a 2br so maybe if they leave I'll have a better chance at getting one. I'm taking the wait and see approach - I'm sure there are some cheap stabilized 2brs sitting empty. I'm moving Monday - AR are you coming over? I'll be there around noon
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Response by julia
about 16 years ago
Posts: 2841
Member since: Feb 2007
cccharley...good luck with your move...I hope I'll be there by next year.
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Response by cccharley
about 16 years ago
Posts: 903
Member since: Sep 2008
Julia - then we'll have party time. That would be great. So much can change. I'm also going to check the rental history on my apartment. I think they did cheaper kitchen renovations than the put in - I have no recessed lighting and all these things listed. Once I'm in there I'll do my research. Maybe I can get my rent down. It's actually on the high side from what I heard others are paying for a 1br and on the worst part of the property. The apt itself is very nice but the view stinks. I didn't have much choice. Took the cheapest available when I got called. So I called yesterday and asked if anything else came up - they said they have almost no inventory - what are they doing with those 800 other apartments? They are such liars. I know a bunch of apts will come up after Feb 1 because of lease renewals. Hey maybe you'll get a 3rd call.
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Response by aboutready
about 16 years ago
Posts: 16354
Member since: Oct 2007
cccharley, i'm there. and now i think i get it. julia, there has been a LOT of turnover with some of the one bedrooms. NYU central. every time there has been a vacancy, under the RS rules, the rent is allowed to increase a fairly healthy percentage. which means that many of the RS rents for the one bedroom units are actually HIGHER than the market rent. they ARE charging market rate, and it is lower than the RS rate. they have to tell you this because in the future they have the right to increase the rent to the RS level plus the yearly RS increases. obviously do NOT rent one of these units. also obviously, these units are the more valuable to them, and they'd like to get them filled first.
there are a ton of units that have had few or no prior occupancies. just stay on the list.
there's some weird stuff going on here right now. i had heard about the mezzanine debt holders intentions, but not about the effort to remove TS. TS, from what i've heard and read, has been disseminating some very strange information to new renters, indicating that they will be going back to court, that their leases are "market rate with some RS protections," etc.
thanks for the post.
watching how this unfolds is interesting. there are many landlords with over leveraged RS buildings running negative cash flows (predatory equity gone bust). it might shred light into what's gonna happen with these other buildings.
Ar....when the rental agents called me (twice) about an apartment they said the leases were marketrate. I wonder if cccharley signed a lease for the apartment.
Julia I signed a lease at the so called stabilized rate - not sure had they got to that. They said we pay the lesser of the 2 - stabilized or market rent - they considered market rate some foolish number over $3k then took 2 months free and prorated it. They offered a 2 year at around 3-4% more per month. I took a one year because who knows if I'll like it, what's going to happen, if they release all those other apts they are sitting on -I really want a 2br so maybe if they leave I'll have a better chance at getting one. I'm taking the wait and see approach - I'm sure there are some cheap stabilized 2brs sitting empty. I'm moving Monday - AR are you coming over? I'll be there around noon
cccharley...good luck with your move...I hope I'll be there by next year.
Julia - then we'll have party time. That would be great. So much can change. I'm also going to check the rental history on my apartment. I think they did cheaper kitchen renovations than the put in - I have no recessed lighting and all these things listed. Once I'm in there I'll do my research. Maybe I can get my rent down. It's actually on the high side from what I heard others are paying for a 1br and on the worst part of the property. The apt itself is very nice but the view stinks. I didn't have much choice. Took the cheapest available when I got called. So I called yesterday and asked if anything else came up - they said they have almost no inventory - what are they doing with those 800 other apartments? They are such liars. I know a bunch of apts will come up after Feb 1 because of lease renewals. Hey maybe you'll get a 3rd call.
cccharley, i'm there. and now i think i get it. julia, there has been a LOT of turnover with some of the one bedrooms. NYU central. every time there has been a vacancy, under the RS rules, the rent is allowed to increase a fairly healthy percentage. which means that many of the RS rents for the one bedroom units are actually HIGHER than the market rent. they ARE charging market rate, and it is lower than the RS rate. they have to tell you this because in the future they have the right to increase the rent to the RS level plus the yearly RS increases. obviously do NOT rent one of these units. also obviously, these units are the more valuable to them, and they'd like to get them filled first.
there are a ton of units that have had few or no prior occupancies. just stay on the list.