Stuy Town/Cooper Village Sale: Surprise Snag

Wednesday, November 15, 2006, by Lockhart

MetLife's planned sale of Stuyvesant Town and Peter Cooper Village for a cool $5.5 billion might have just hit the mother of all snags. According to Crains, the deal could be put asunder by a "little-known provision" dating to 1942 that says MetLife agreed that it would make no more than a 6% annual profit on the complex. Whether the terms of the agreement are still in effect, or even binding, remains to be seen.
· MetLife Real Estate Deal Could be Derailed [Crains]
· Curbed Cheatsheet: Peter Cooper/Stuyvesant Town Sale [Curbed]

[Graphic above created with geoGreeting, via Lifehacker, because we're feeling frisky]

Filed under Manhattan: Gramercy/Flatiron District, Real Estate Development,

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Comments (12 extant)

yay!

By Tesla at November 15, 2006 4:42 PM

Ha. Serves those a-holes right. Didn't they get federal subsidies to build on that property with the provision that it had to be middle class housing? Finally, some reason in the midst of Bloombergian greed and insanity. PAYBACK.

By Katey at November 15, 2006 5:01 PM

Total victory!!! First Bush is deposed, now this!!!!

By Josef Stalin at November 15, 2006 5:04 PM

No! When are we going to get rid off the pest that lives in that development!

By Jojo at November 15, 2006 5:57 PM

As Nelson Muntz would say,

Ha ha!

By JF at November 15, 2006 7:58 PM

i can't see this not being a known hurdle between buyer & seller. i'm sure they have a strategy to manage it too. not even law denies money & power and there's too much money & power on the table here to let pesky things like "law" stand in the way.

By anon at November 15, 2006 8:47 PM

I hope #6 isn't right, but get ready to see "America" at work when this deal goes through unimpeded. Wealth and power makes right!

By anon at November 15, 2006 10:45 PM

how come no one has commented on that amazing "stuytown!!!" graphic!? it's amazing! how long did that take? where are all these buildings from? you should make a font

By box at November 16, 2006 1:58 AM

Don't get your panties in a bunch. I'm sure they can pay off the right people with the profit they'll be making and get the sale completed.

By jackie at November 16, 2006 10:33 AM

10.

Where was this justice when thousands upon thousands of people lost their homes and jobs when the city performed 'slum clearance' in order to build these le corbu inspired monstrosities in the first place?

By Perry at November 16, 2006 11:17 AM

11.

Politicians rolling out logs to slow the transaction down will only motivate the new owner to step up aggressive eradication of stabilized tenants, who will now be branded troublemakers.

By 873450 at November 16, 2006 12:34 PM

12.

How much does this city(or state) make on this transaction for real estate transfer tax or mortgage tax, etc?
Would be very funny if this did indeed derail the sale - after all the hoola - articles about the broker, etc.

By Anonymous at November 16, 2006 3:01 PM