Home / Business and Economy / Court OKs $451M Apartment Sale Over City Objections
Court OKs $451M Apartment Sale Over City Objections
17 Jan
Summary
- Summit Properties USA secured court approval for a $451 million apartment purchase.
- The deal involved apartments previously owned by Pinnacle Group LLC.
- NYC Mayor Zohran Mamdani's legal objections were unsuccessful in halting the sale.
A $451 million sale of apartment buildings has received court approval, despite opposition from New York City officials. Real estate firm Summit Properties USA will acquire the properties, which were part of a bankruptcy filing by Pinnacle Group LLC in May. U.S. Bankruptcy Judge David Jones greenlit the transaction, overriding objections.
Mayor Zohran Mamdani's administration had formally challenged the deal shortly after Mamdani assumed office on January 1st. They argued for a pause to allow for more thorough review and tenant engagement. However, these objections came months after the court had already established sale deadlines, which were supported by lender Flagstar Bank NA.
The judge's decision means the sale will proceed as planned, finalizing Summit Properties USA's acquisition. The court's approval signifies a definitive step in the bankruptcy proceedings for these apartment complexes, concluding the legal back-and-forth initiated by the city.
