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Parker Properties
Parker Properties was formed in August 1983 by Nicholson
Enterprises, Inc. (Nicholson Enterprises), Philip D. Winn &
Associates, Inc. (PDW&A), and ESL. Nicholson Enterprises and
PDW&A each received a 25-percent interest in Parker Properties,
and ESL received a 50-percent interest. Parker Properties’
initial capital contributions were as follows: PDW&A, $500;
Nicholson Enterprises, $500; and ESL, $1,000. There were few, if
any, additional capital contributions made by the partners over
the life of Parker Properties.
Parker Properties obtained financing from Empire for the
acquisition of real estate from Bankers Trust (the Bankers Trust
property). Empire lent $10 million to Parker Properties to
acquire the Bankers Trust property and an additional $2 million
for property improvement and operating expenses. The loan was
evidenced by a $12 million promissory note dated August 30, 1983,
payable to Empire. This note was signed by officers of the joint
venturers ESL, Nicholson Enterprises, and PDW&A; and by Messrs.
Gitlitz, Nicholson, and Winn, individually. The $12 million note
was secured by the Bankers Trust property without recourse to
Parker Properties but with recourse to Mr. Nicholson as to 12.5
percent of the loan balance, and Messrs. Winn and Gitlitz each as
to 6.25 percent of the loan balance. Parker Properties claimed
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Last modified: May 25, 2011