Canada's largest pension manager has added a 40-storey New York office building to its real estate holdings, seizing the property following a foreclosure process.
Caisse de dépôt et placement du Québec, through mortgage subsidiary Otera Capital, plans to hold on to the recently renovated building in the heart of the Rockefeller Plaza district until the real estate market improves.
New York developer Harry Macklowe defaulted in January on a $130-million (U.S.) mezzanine loan held by Otera, one of Canada's five main commercial mortgage lenders. Mezzanine subordinate loans are secured by shares of the company that owns the building.
Mr. Macklowe bought 1330 Avenue of the Americas, or Sixth Avenue, for $498-million in December, 2006. He had a $240-million senior mortgage from Deutsche Bank AG and the mezzanine loan.
Thursday, April 23, 2009
New York City 2010
