Kushners May Have to Give Up Ownership of Indebted NYC Office Tower
Source: Bloomberg
Business
Kushners May Have to Give Up Ownership of Indebted NYC Office Tower
By Caleb Melby , David Kocieniewski , and David M Levitt
June 18, 2018, 12:40 PM EDT
* Brookfield could put up to $700 million of equity in 666 Fifth
* Owner needs funds to pay down debt, renovate aging property
When Kushner Cos. bought 666 Fifth Ave. for a record-setting $1.8 billion, it made a down payment of $50 million. When it added a partner years later, that company put down $80 million.
Now Brookfield Asset Management Inc. is offering to buy a stake in the troubled New York City office tower and put up as much as $700 million -- in cash.
That figure, which emerged on Friday, is a standout in Manhattan real estate, where empires are typically built on debt. Though Kushner has owned a majority stake in the property, Brookfield will probably demand more than 50 percent or other concessions for its giant equity infusion, according to five people familiar with the building’s finances.
Representatives for Kushner Cos. and Brookfield declined to comment.
Read more: https://www.bloomberg.com/news/articles/2018-06-18/kushner-cos-may-have-to-cut-stake-in-nyc-office-tower-below-50
David Fahrenthold Retweeted
https://twitter.com/Fahrenthold
Brookfield source told me when deal was disclosed: “We’ll figure out a way to structure it so [the Kushners] would remain in some capacity.” Seemed like a measure aimed at saving face.
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In order to save #666Fifth Avenue, the #kushner family will likely have to cede control of the troubled tower.
https://bloom.bg/2K3fpPd
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the white house........................and then he is in the background making deals, hey republican controlled congress your crony here can't even buy a building without going broke, and does exactly what in the white house, trying to bankrupt the country, think about it, he over paid for some building that is a shit hole that has to be remodeled, and now this reporting is just a furtherance of normalization ....................
November 2018 cannot get here fast enough.....................
The answer is 1000. My brain isn't even set up to conceive amounts like that.
A fifty milllion dollar down payment is five percent of the total cost.
Yes, I know - a huge commercial skyscraper on Fifth Avenue in NYC doesn't come cheap but seeryusly...
