CW Capital Asset Management, is stone-walling the efforts of the Stuyvesant Town Peter Cooper Village Tenants Association and its partner Brookfield Asset Management to buy the sprawling property and convert the property so it can pay off its debt, according to a statement from the tenants association Tuesday morning.
The Tenants Association sent a letter to residents at the rent-regulated property, which runs from East 14th to East 23rd streets along the East River, on Tuesday. It stated that henceforth the group will seek to cut out the middleman—CW Capital, the special servicer that represents the bond holders in the foreclosed property—in favor of reaching out to the debt-holders directly. The reason is that CW Capital has not been responsive. City Councilman Dan Garodnick, a long-time resident of the complex, sent a similar letter to CW Capital.
“Despite having teamed up with word-class legal and financial advisors Paul Weiss, and Moelis & Company, and a highly credible capital partner, Brookfield Asset Management, and communicating in multiple ways with CW Capital, it consistently declines to engage with us,” said John Marsh, president of the Tenants Association, in a press statement. He added: “This is wrong and we believe that the bondholders, Wells Fargo in its role as Master Servicer of the commercial mortgage-backed securities] trusts, CW Capital’s parent company Fortress, and the relevant bond rating agencies will view this issue differently.”