Just two weeks ago, Avi Philipson told All Year Holdings that she wanted out of a deal to buy All Year’s sprawling Brooklyn real estate portfolio.
Now Philipson and his group of investors are back, but with lower prices.
Philipson’s Paragraph Partners and All Year resolved the dispute and Philipson 100+ assets — walk-ups mostly in north Brooklyn — next year. Philipson’s group will pay his $43.5 million in cash for the portfolio, up from his $60 million agreed earlier this year.
This transaction is Year-round collectionThe company, once headed by Yoel Goldman, filed for bankruptcy last year amid threats of lawsuits and foreclosure, and is looking to sell assets to pay back Israeli bondholders and other creditors.
The pending sale is also due to tight funding markets forcing lenders to exit.
Avi Phillipson, the son of controversial health care mogul Bent Phillipson, signed a deal with All Year in March to pay $40 million in cash and a $20 million promissory note to distress her family. I got my portfolio.Rubin Shuron Cammeby’s International GroupOne of New York’s largest landlords, was part of Phillipson’s investor group. As part of the transaction, the buyer agreed to assume all unsecured claims for the full year.
The Philipson group also reached another deal to acquire All Year’s stake in William Vale, a luxury hotel in Williamsburg, but fell through. All Year and Philipson eventually reached a settlement.
But in recent weeks, the All Year and Philipson groups have had disagreements over the sale of a portfolio of more than 100 assets. All Year claimed that Philipson’s group failed to extend the closing date, but Philipson’s group said he was withholding funds from All Year.
Philipson’s group also claimed that it was under All Year Management, a property manager headed by Goldman who previously handled all buildings for All Year Holdings. Investigation By the New York Attorney General for Transferring Tenant Deposits to Other Entities.
All Year Holdings said the investigation involved All Year Management, not All Year Holdings, and was disclosed to Philipson’s Paragraph Partners.
However, the All Year and Philipson groups were able to negotiate a new contract. Under those terms, Paragraph Partners will provide an additional security deposit of $4.5 million. All Year and Paragraph Partners also agreed that her $5.25 million from the sale of her Williamsburg property will be used to fund her All Year operations during bankruptcy proceedings.
The contract signing date has been extended to March 2023.
Neither All Year Holdings nor Philipson reached out for comment.