Barnett approves of strategic defaults.

http://news.bostonherald.com/business/general/view/20100127pricey_parking_lot_bank_sues_as_garage_defaults_on_loan/srvc=home&position=also “The loan has a very high debt service with a complicated structure,” Barnett said. “The interest was set too high. Nothing’s guaranteed, but we’re in discussions with (lenders), and we hope to work it out.” Extell had pledged the garage as collateral when... [more]

http://news.bostonherald.com/business/general/view/20100127pricey_parking_lot_bank_sues_as_garage_defaults_on_loan/srvc=home&position=also “The loan has a very high debt service with a complicated structure,” Barnett said. “The interest was set too high. Nothing’s guaranteed, but we’re in discussions with (lenders), and we hope to work it out.” Extell had pledged the garage as collateral when it landed the loan in 2006. But it fell behind on payments in August, according to documents filed in U.S. District Court in Boston. Extell President Gary Barnett said the garage is performing well, but doesn’t generate enough income to cover the loan payments. The facility is used by hotel guests and event attendees, condo owners of the Residences at the InterContinental and others for daily and monthly parking. [less]