- 7 - FC Partnership remained at $40,000 for each ownership unit. In July 1988, when the New York City real estate market was thriving, the FC Partnership refinanced its mortgage on the Partnership Properties. As a result of additional funds that were available to the FC Partnership from this refinancing, the FC Partnership made a special cash distribution of $140,000 to each general partner with respect to each ownership unit in the partnership. In 1988, for purposes of refinancing its mortgage, the FC Partnership obtained from Cushman & Wakefield, Inc. (C&W), an appraisal of the Partnership Properties (1988 C&W report). Using for its methodology comparable sales and income capitalization and assuming that economic conditions and the New York City commercial real estate market would continue to improve, the 1988 C&W report concluded that, as of May 9, 1988, the estimated fair market value of the underlying Partnership Properties equaled $110 million. The 1988 C&W report did not attempt to value the FC Partnership, nor an ownership unit in the FC Partnership. In the spring of 1989, Mr. Silver was informed that CUNY had decided to build its own campus and that when the new campus was completed in 1994, CUNY would terminate a large portion of its lease of the Partnership Properties. During the early and mid-1980's, real estate leasing activity in midtown Manhattan increased each year.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011