All Year’s $346M multifamily portfolio sale to David Werner falls apart

first_imgThe sale was set to close within 60 days of the agreement — or by Tuesday, May 5 — but Werner was apparently unable to line up acquisition financing in time, according to a new disclosure published Wednesday. The buyer asked for an extension, but without an additional $5 million extension fee as required by the agreement. All Year denied the request.On Tuesday, Werner informed Goldman’s firm that the deal was off, and accused All Year of violating the terms of the agreement — which would require the seller to return the $15 million down payment. Alleged violations include failure to provide information about properties in the portfolio, reducing rents for tenants and entering into contractual agreements with tenants without Werner’s approval.Werner is known as one of the most active syndicators of big real estate deals in New York, making quick and lucrative exits shortly after closing deals.The scrapped sale included 611 residential units and 18 commercial units. Elsewhere in its portfolio, All Year announced in February that it was close to securing a $675 million refinancing for the Denizen Bushwick, a massive mixed-use project on the former Rheingold Brewery site. That deal has not closed, according to property records.The developer has also announced that it is seeking to sell or refinance the William Vale hotel and office complex to pay down Israeli bonds. The hotel is currently closed due to the coronavirus.All Year did not respond to a request for comment. Werner could not be reached for comment.List of Properties in All Year’s Scrapped Portfolio SaleShow 102550100 entriesSearch:BOROUGHBLOCKLOTPROPERTY TYPEPROPERTY ADDRESS Clockwise from top left: 871 Grand Street, 392 St. Marks Avenue, 607 Franklin Avenue and 600 Park Place in Brooklyn (Credit: Google Maps)All Year Management’s massive $346 million multifamily portfolio sale appears to have fallen victim to the economic fallout of coronavirus, as financing tightens and tenants struggle to pay rent.An agreement to sell the portfolio, which covers 73 multifamily buildings in Brooklyn and one in Queens, was announced by Yoel Goldman’s firm two months ago on the Tel Aviv Stock Exchange. The deal was expected to generate about $59 million in positive cash flow for All Year after mortgages were paid off, and the buyer provided a $15 million down payment.Although the prospective buyer was not named in the Tel Aviv disclosures, New York City property records show that prolific but low-profile Brooklyn real estate investor David Werner was on the other side of the deal.Read moreAll Year faces new Israeli lawsuit, announces massive portfolio saleDavid Werner is NYC’s top real estate buyer in 2014 — how does he do it?RXR and Walton Street Capital near deal to sell 237 Park Ave stake to David Werner BROOKLYN / KINGS115516APARTMENT BUILDING392 ST. MARK’S AVENUE BROOKLYN / KINGS116282APARTMENT BUILDING469 PARK PLACE BROOKLYN / KINGS116284APARTMENT BUILDING461 PARK PLACE BROOKLYN / KINGS1163511-3 FAMILY WITH STORE / OFFICE694 FRANKLIN AVENUE BROOKLYN / KINGS116834APARTMENT BUILDING600 PARK PLACE BROOKLYN / KINGS12002APARTMENT BUILDING1323 BEDFORD AVENUE BROOKLYN / KINGS12051APARTMENT BUILDING1055 DEAN STREET BROOKLYN / KINGS12059APARTMENT BUILDING1126 PACIFIC STREET BROOKLYN / KINGS120662APARTMENT BUILDING1159 DEAN STREET BROOKLYN / KINGS121924APARTMENT BUILDING1058 BERGEN STREETShowing 1 to 10 of 75 entriesPreviousNextSOURCE: Memorandum of Contract, ACRIS This content is for subscribers only.Subscribe Nowlast_img read more