X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(To read more on the multifamily market, click here.)

SECAUCUS, NJ-Sept. 29, 30 and Oct. 1 are the dates set for the auction of some 340 properties, mostly residential, owned by NJ Affordable Homes Corp. as part of a court-ordered Chapter 7 action against the company. Sheldon Good & Co. NorthEast and the Melville, NY-based DJM Realty have been retained to conduct the auction by Charles M. Forman of the law firm of Forman Holt & Eliades, the Chapter 7 trustee appointed by NJAH. The auction will be held at the Meadowlands Convention Center.

In September 2005, the US Securities and Exchange Commission obtained a temporary restraining order from the District Court freezing the assets of NJAH and its president, Wayne Puff. The SEC alleged that, “from at least 1999 to the present, the defendants sold, in unregistered offerings, at least $40 million in notes to more than 490 investors located throughout the US in connection with their participation in a Ponzi scheme.”

The District Court subsequently appointed Nicholas H. Politan, a former federal judge, as the receiver for NJAH. And in November 2005, the court authorized the receiver to file a Chapter 7 petition under the Bankruptcy Code on behalf of NJAH.

“This will be the largest residential auction thus far to be conducted in New Jersey, and most likely in the US,” says Jeffrey Hubbard, executive managing director for Sheldon Good & Co. Auctions NorthEast. According to Hubbard, the holdings consist of 195 multifamily properties, all of six units or fewer, 80 single-family homes, 57 parcels of land and eight commercial properties. All will be sold absolute regardless of price, according to Hubbard, free and clear of liens, subject to the approval of the US Bankruptcy Court, District of New Jersey.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. Apartments 2020Event

Join 1000+ of the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.