Barrett of Admiral Real Estate closes $5,027,766 on nine non-performing notes

Admiral Real Estate Services Corp. sold a total of nine non-performing notes collaterized by eight multi-family investment properties located in Yonkers, Mount Vernon and Pelham, collectively known as "The Lower Westchester Portfolio." The portfolio contains eight notes in the first lien position, in addition to one subordinate note. At the time of the sale, the par value for the collaterized notes was $5,027,766. The notes were sold by an affiliate of Situs in an all-cash, non-contingent transaction to various affiliates of Gontar Management, an owner of multi-family assets in Westchester. John Barrett, head of investment sales at Admiral, exclusively represented the seller and found the buyer. "There was significant interest from buyers for the entire portfolio, as well as on individual properties, particularly the properties in Pelham and Mount Vernon" according to Barrett. "The higher level of interest in those two properties was due to their strong location near the Metro-North rail stations". He further said, "The properties have suffered from poor management and deferred maintenance issues for several years but have significant upside from the acquisition cost." The portfolio traded at a 29% discount to current asset value.