VALHALLA, NY-Cappelli Enterprise reports it has purchased two family entertainment complexes in New Rochelle in Westchester County, NY and Lake Grove on Long Island, NY in a bankruptcy court auction for $12 million.

BERLIN, CT-While Northeast Utilities has vowed to take Consolidated Edison to court over alleged failures to live up to their proposed merger deal, Con Ed filed papers in federal court to void the $7.7 billion merger agreement.

STAMFORD, CT-Xerox Corp. reports it has agreed to sell half of its stake in Fuji Xerox Co. Ltd. to Fuji Photo Film Co. Ltd. in a deal valued at more than $1.3 billion in cash.

WHITE PLAINS-Reckson Associates Realty Corp. announces that Metro Media Fiber Network and Merrill Lynch Pierce, Fenner & Smith Inc. have expanded their lease commitments at its Reckson Metro Center office building.

NORWALK, CT-Modem Media Inc., an Internet services firm headquartered here, announces that as part of an expense reduction program, the company will close its Tokyo office.

WILTON, CT-The Davis Cos. report that the Wilton has granted the firm final approval for 200,000 sf in new office development at its $90-million Wilton Corporate Park.

ALBANY-New York State Governor George Pataki reports that the state plans to acquire Schunnemunk Mountain from the Open Space Institute in the towns of Cornwall, Woodbury and Blooming Grove.

STAMFORD, CT-CB Richard Ellis reports that it has brokered the sale of the 404,000 sf Garden City Plaza office complex to the Treeline Companies for $43.5 million.