GlobeSt.com UPDATE:Trump and Conseco Will Sell GM Building

NEW YORK CITY-Donald Trump and Conseco Inc. have reached an agreement on a long-standing dispute over control and distribution of profits of the General Motors building. The parties have mutually agreed to sell the Fifth Avenue property, however the terms of the division of proceeds are confidential. In 1998, the pair purchased the 50-story property for $878 million, with Conseco making a $211 million equity investment and Trump $11 million.

Last month, a three-member arbitration panel voted 2 to 1 that Trump must sell his 50% stake in the skyscraper near Central Park to bankrupt insurer Conseco for $15.6 million (see earlier story). New York Supreme Court judge Karla Moskowitz affirmed the panel’s ruling Thursday, saying the “heavy burden” needed to overturn the panel’s decision hadn’t been met.

The building will be put up for sale immediately to permit Conseco to put the substantial value of the investment to work toward a restructuring program. Conseco filed for bankruptcy-court protection last December.