Stuy-Town Aims at CALPERs

NEW YORK CITY-A recent decision by the California Public Employees’ Retirement System to alter its policy regarding tenants that have rent control, has led to the tenants’ association at Stuyvesant-Town and Peter Cooper Village to pursue the pension fund as an investor, according to the Wall Street Journal . The tenants are bidding on the property and have invited CALPERs to join them.

The sprawling complex collapsed under the weight of over $4 billion of debt and a failed plan to convert rent-controlled properties into larger rentals. Meanwhile, Appaloosa Management is trying to stop Stuy-Town from foreclosing, which would cost, as per Appaloosa’s estimate, about $200 million in transfer taxes. A judge, however, denied Appaloosa’s request to intervene.