Another struggling downtown building wants to hold an auction: The Downtown News reports the developer behind the Roosevelt, which is in Chapter 11 protection, and currently renting out its condos, wants a bankruptcy judge to approve a Kennedy Wilson-run auction of 50-75 units. And lawyers representing the project want the auction done as soon as possible, arguing that downtown is about to see a new wave of units come on the market. Via the News: "In the Dec. 24 request, the Roosevelt attorneys argue that the expedited hearing is needed for the project to capitalize on current market conditions Downtown: 'The Debtor and [Kennedy Wilson] believe that, while the number of luxury condominium units in downtown Los Angeles that are currently available for sale is low, that number will increase substantially in February or March 2010,' said the filing." (In terms of what's coming on the market, maybe those lawyers are thinking of, err, 655 Hope? Concerto?) Meanwhile, lawyers representing lender Bank of America and other creditors oppose the idea of an auction and are seeking to foreclose on the property. Across town, developer Meruelo Maddux is also asking a bankruptcy judge to approve an auction at its 705 W. Ninth rental building, a project that's also in Chapter 11 bankruptcy protection. And similarly, the lender opposes the idea of an auction and would rather just take the building back.
· Roosevelt Wants Auction, ASAP [Downtown News]
Filed under:
Loading comments...