Recent developments in the world of private equity-owned Bronx apartment buildings continue to show the far reaching impact of the financial downturn and related collapsing real estate bubble.
The Real Deal picked up on the Botanical Square buildings and others owned by Hudson Realty Capital and managed by Pinnacle that, as reported on the Bronx News Network and the Norwood News are for sale at a loss (or were, as the listings have been pulled from the website). The article brings up the larger question of whether the buildings are over-financed, with varying responses from tenant advocates, owners, banker and realtor as to whether the income of the buildings can support the mortgage payments.
The City Room blog also takes a look at these same buildings, focusing more on the conditions in the apartments. (Photo from the NY Times) Their piece highlights tenant advocates protesting outside a New York Community Bank branch, who they partially blame for the conditions.
Finally, seven buildings owned by another private equity group that may now be defunct have gone into foreclosure. According to foreclosure data from RealQuest, Fannie Mae commenced foreclosure filings on February 27 against 7 buildings owned by Ocelot Properties. The outstanding mortgage balance appears to be about $18 million for the 205 apartments, or about $87,000 per unit. If history is any guide, the conditions for tenants at 1744 Clay Ave, 1663 Eastburn Ave, 2254 Crotona Ave, 422 E 178th Street, 1271 Morris Ave, 806 E 175th Street and 1269 Morris Ave are likely to deteriorate before they improve.
The Real Deal picked up on the Botanical Square buildings and others owned by Hudson Realty Capital and managed by Pinnacle that, as reported on the Bronx News Network and the Norwood News are for sale at a loss (or were, as the listings have been pulled from the website). The article brings up the larger question of whether the buildings are over-financed, with varying responses from tenant advocates, owners, banker and realtor as to whether the income of the buildings can support the mortgage payments.
The City Room blog also takes a look at these same buildings, focusing more on the conditions in the apartments. (Photo from the NY Times) Their piece highlights tenant advocates protesting outside a New York Community Bank branch, who they partially blame for the conditions.Finally, seven buildings owned by another private equity group that may now be defunct have gone into foreclosure. According to foreclosure data from RealQuest, Fannie Mae commenced foreclosure filings on February 27 against 7 buildings owned by Ocelot Properties. The outstanding mortgage balance appears to be about $18 million for the 205 apartments, or about $87,000 per unit. If history is any guide, the conditions for tenants at 1744 Clay Ave, 1663 Eastburn Ave, 2254 Crotona Ave, 422 E 178th Street, 1271 Morris Ave, 806 E 175th Street and 1269 Morris Ave are likely to deteriorate before they improve.
