By Jennifer Glickel
MANHATTAN — The planned foreclosure auction of Stuyvesant Town and Peter Cooper Village that was set for Monday morning was abruptly postponed, according to reports.
A lawyer for CW Capital, the company representing the property's senior debt holders, confirmed that the sale would be delayed until Oct. 13th, the New York Times reported.
The reason for the auction's postponement was that CW Capital was reportedly negotiating a settlement with a group of rival investors led by hedge-funder William Ackman, who failed in an earlier attempt to foreclose on the 80-acre property and take control of the complex.
CW Capital reportedly met with the investors on Friday to discuss a potential settlement with Ackman’s venture, Pershing Square Winthrop, The Wall Street Journal reported.
Pershing Square Winthrop had purchased a key slice of secondary debt on the 11,227-apartment property in August in an attempt to take control of the complex. The move was ultimately shot down in state court.
With no other bidders in sight to put up the approximate $3.7 billion needed to pay off the mortgage, CW Capital stands as the likely candidate to become the property's new owner after the auction.