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Stuyvesant Town turned over to Creditors

By Anonymous

A story we have been following since the property was purchased ...

From the NY Times: Huge N.Y. Housing Complex Is Returned to Creditors

The owners of Stuyvesant Town and Peter Cooper Village ... have decided to turn over the properties to creditors, officials said Monday morning.

The decision by Tishman Speyer Properties and BlackRock Realty comes four years after the $5.4 billion purchase of the complexes? 110 buildings and 11,227 apartments in what was the most expensive real estate deal of its kind in American history.

More from the WSJ: Tishman Venture Gives Up Stuyvesant Project

The venture acquired the 56-building, 11,000-unit property for $5.4 billion in 2006 ... By some accounts, Stuyvesant Town is only valued at $1.8 billion now ... all the equity investors?including the California Public Employees' Retirement System, a Florida pension fund and the Church of England?and many of the debtholders, including Government of Singapore Investment Corp., or GIC, and Hartford Financial Services Group, are in danger of seeing most, if not all, of their investments wiped out.

Full post as published by Calculated Risk on January 25, 2010 (boomark / email).