Deutsche Bank, which nixed the previous agreement with the investor group in June, will provide $470 million of financing, while the buyers will put in $130 million in cash, the source tells GlobeSt.com. In the earlier deal, Deutsche Bank would have retained a stake in Worldwide Plaza and received revenue based on the property's future income; the source says this joint venture structure has been replaced in the new deal by an outright sale to the investor group.
Senior executives at the bank reportedly grew uncomfortable with the JV structure and canceled the earlier agreement two weeks ago. Deutsche Bank took back Worldwide Plaza and other properties last year after Macklowe defaulted on $5.8 billion in financing from the bank.
Spokesmen for Deutsche Bank and George & Comfort & Sons tell GlobeSt.com their firms have no comment. When the earlier deal fell through, George Comfort president Peter Duncan issued a statement saying his company and RCG were "ready, willing, able and eager" to close the deal, which was brokered by Eastdil Secured, and was "disappointed" that the bank opted not to honor the contract.
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