Pearl Schwartz files bankruptcy to protect $153M purchase of Leser Group complex

SUNY Downstate at Bay Ridge, 9036 7th Avenue (Credit: Goole)

UPDATED WITH CORRECTION: Pearl Schwartz as trustee of Prospect Bayridge LLC, which is the Managing Member of the debtor Bayridge Lok Holdings LLC, filed for bankruptcy protection to protect its interest in the $153 million purchase of the SUNY Downstate Medical Center location in Bay Ridge at 9036 7th Avenue and a one-story parking garage at 9012 7th Avenue.

Schwartz filed the chapter 11 bankruptcy petition because the contract deposit of $3 million was funded with a short-term loan from the Toms River, New Jersey-based Bordeaux Capital LLC, and secured by Schwartz’s interest in the contract, and Schwartz has a, “need for new financing to pay off note and avoid forfeiture of the debtor’s rights under the contract. With new financing, the debtor will be able to satisfy the note and close under the contract.”

A document the Leser Group filed with the Tel Aviv Stock Exchange says the sale is expected to close before March 29, 2021.

Leser bought bought the 177,455-square-foot, three-building complex from Victory Memorial Hospital in 2009 for $44.9 million and bought the garage in 2015 for $1.3 million. Leser refinanced the two parcels in 2018 with a $71.25 million loan from TD Bank. The debtor’s attorney is Fred B. Ringel of Robinson Brog Leinwand Greene Genovese & Gluck.

CORRECTION: The signatory for the petition is Pearl Schwartz, not Pearl Weisz.

Direct link to Acris document. link

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