Here we go again: Stuy Town reported to be for sale

ST buildings

Stuyvesant Town buildings

By Sabina Mollot

Over five years after taking control of the property, CWCapital is preparing Stuyvesant Town/Peter Cooper Village for a sale, Bloomberg news reported on Saturday.

The article went on to name Blackstone Group LP as a likely bidder, with others possibly in the mix, though not Brookfield Asset Management. That company, which had announced a partnership with the ST-PCV Tenants Association four years ago with a plan for a non-eviction condominium conversion, is no longer involved, a rep for Brookfield said.

Meanwhile, it’s possible a future deal could secure $5-$6 billion. The latter figure would be more than the historic $5.4 billion paid by Tishman Speyer and partner BlackRock in 2006, with the article citing a strong residential market in Manhattan.

Additionally, the report said, “Blackstone’s real estate chief, Jon Gray, said this month that he was bullish on Manhattan rentals because it’s too costly for many residents to buy.”

Peter Rose, a spokesperson for Blackstone, did not immediately return a call requesting comment. Brian Moriarty, a spokesperson for CWCapital, did not respond to a request for comment.

UPDATE: Joe DePlasco, a spokesperson for CW, issued a statement on Monday, saying, “We are pleased that we have finalized in principle the settlement of the outstanding litigation. CWCapital retained Doug Harmon at Eastdil Secured to advise throughout the process.”

The statement from DePlasco didn’t elaborate on the terms of the settlement.

However, CW’s effort to sell has been hampered by a lawsuit filed by junior lenders represented by a company called Centerbridge Partners. The lenders had hoped for a chance to buy a key piece of the junior or mezzanine debt and accused CW of violating an intercreditor agreement when the servicer took title of the property through a deed last year instead of holding a foreclosure sale.

A spokesperson for EastDil didn’t immediately return a call requesting comment.

Susan Steinberg, the president of the ST-PCV Tenants Association, was out of town on Monday, and not available to be interviewed. Council Member Dan Garodnick, a Peter Cooper Village resident, was also unavailable for an interview on Monday morning.

However, he’d previously told Bloomberg, “The tenants are going to insist that the owners work directly with them and with the city to develop a responsible plan to protect the long-term affordability of the place.”

Garodnick has previously met with Mayor Bill de Blasio on a plan to maintain affordability in ST/PCV, that is, in the roughly 6,000 units that are still affordable. On Monday, Wiley Norvell, a spokesperson for the mayor, said the mayor still wanted to preserve affordability.

“Protecting this community’s legacy as a home for New York City’s middle class is a top priority for Mayor de Blasio,” Norvell said. “We will press any owner to preserve affordable housing.”

Andrew Willis, a spokesperson for Brookfield, confirmed that the company was “no longer in the process” of bidding, although he said he didn’t know the reason for the decision.

Johann Hamilton, a spokesperson for the Real Estate Board of New York, whose chair is Tishman Speyer president and CEO Rob Speyer, declined to comment.

This story will be updated.

Advertisements

5 thoughts on “Here we go again: Stuy Town reported to be for sale

  1. Really… nobody from the TA is available to comment. What do these people do for the community? Anyone who pays their annual fee is just throwing money away – they are useless.

  2. Mayor DeBlasio washed his hands of us and walked away, rather like Pontius Pilate! It’s not surprising considering that he and his wife (who none of us voted for, but who seems to know how to cash-in on the taxpayers’ dime), the vile City Council and most of the politicians who claim to represent us, are literally owned by Speyer and the REBNY. They have to serve their Masters and the hell with the people who they are supposed to represent.
    I hope that none of these toads come soliciting votes at any time in the future because a lot of us will have just two words to say to them and those two words are not “Happy Birthday.”

  3. HERE WE GO… AGAIN !

    Always with promises which are never kept, See the story on front page of today’s NYT (10-20). Remember what happened thanks to CEO Benshome. Call it the curse of Robert following about 65 years of caring and competent ownership and management by MetLife.

  4. So we’re being sold to Blackstone, the biggest predatory landlord in the country. It’s like the “good news/bad news” scenario, e.g., “the good news is that Hitler is moving out; the bad news is that Stalin is taking over.”

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s