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Court OK sought for NJ firm to buy Harrisburg apartments

The bankrupt owner of an apartment complex in uptown Harrisburg is seeking court approval to sell the property to a New Jersey firm.

  • ANCDI Properties is offering to pay just over $9.6 million for Governor’s Square, beating out two competing bids, according to a filing in U.S. Bankruptcy Court for the Middle District of Pennsylvania.
  • “My vision is just to fix it up and make it a nice place to live,” said Charles Howard, owner of ANCDI, which is based in Mount Holly, New Jersey.
  • Howard, a Harrisburg-area native, said he would be able to share more details if and when the sale is finalized.
  • ANCDI owns residential properties in Pennsylvania, New Jersey and Texas.

 

Why is this happening: The proposed sale stems from the bankruptcy of Governor’s Square owner Uptown Partners LLC.

  • The Maryland-based firm filed for bankruptcy protection last May after being hit by numerous code violations from the city of Harrisburg, as well as complaints from residents.
  • The 222-unit Governor’s Square complex is about half-vacant and is estimated to need millions of dollars in repairs to bring it up to code.
  • As part of the bankruptcy process, Uptown Partners hired Chicago-based Hilco Real Estate LLC to auction off Governor’s Square, an affordable-housing complex comprised of more than 25 buildings spread around several blocks in uptown Harrisburg.

 

Who raised their hands: The auction yielded three final bidders, according to court filings.

  • The winning bid from ANCDI was $9.624 million. 
  • The runners-up were an entity called 2087 Market Street LLC, which bid $9.594 million, and Ohio-based housing developer Woda Cooper, which bid $9.13 million.
  • The bidders also agreed to assume outstanding debt of $8.9 million to the Harrisburg Redevelopment Authority and to fork over $1 million for real estate taxes, sewer, trash and water bills.
  • Citing the ongoing court proceedings, Harrisburg city spokesperson Matt Maisel declined to comment.
  • The city has previously said it wants to ensure the complex remains affordable.

 

What’s next: The sale is subject to court approval, a process that will allow others to weigh in on the potential deal.

  • A hearing is scheduled for Jan. 30, according to Robert Chernicoff, an attorney for Uptown Partners.
  • A few parcels in Governor’s Square in the 500 block of Peffer Street are being transferred to Homeland Center, a senior-living facility that sits next door, according to court documents.

The bankrupt owner of an apartment complex in uptown Harrisburg is seeking court approval to sell the property to a New Jersey firm.

  • ANCDI Properties is offering to pay just over $9.6 million for Governor’s Square, beating out two competing bids, according to a filing in U.S. Bankruptcy Court for the Middle District of Pennsylvania.
  • “My vision is just to fix it up and make it a nice place to live,” said Charles Howard, owner of ANCDI, which is based in Mount Holly, New Jersey.
  • Howard, a Harrisburg-area native, said he would be able to share more details if and when the sale is finalized.
  • ANCDI owns residential properties in Pennsylvania, New Jersey and Texas.

 

Why is this happening: The proposed sale stems from the bankruptcy of Governor’s Square owner Uptown Partners LLC.

  • The Maryland-based firm filed for bankruptcy protection last May after being hit by numerous code violations from the city of Harrisburg, as well as complaints from residents.
  • The 222-unit Governor’s Square complex is about half-vacant and is estimated to need millions of dollars in repairs to bring it up to code.
  • As part of the bankruptcy process, Uptown Partners hired Chicago-based Hilco Real Estate LLC to auction off Governor’s Square, an affordable-housing complex comprised of more than 25 buildings spread around several blocks in uptown Harrisburg.

 

Who raised their hands: The auction yielded three final bidders, according to court filings.

  • The winning bid from ANCDI was $9.624 million. 
  • The runners-up were an entity called 2087 Market Street LLC, which bid $9.594 million, and Ohio-based housing developer Woda Cooper, which bid $9.13 million.
  • The bidders also agreed to assume outstanding debt of $8.9 million to the Harrisburg Redevelopment Authority and to fork over $1 million for real estate taxes, sewer, trash and water bills.
  • Citing the ongoing court proceedings, Harrisburg city spokesperson Matt Maisel declined to comment.
  • The city has previously said it wants to ensure the complex remains affordable.

 

What’s next: The sale is subject to court approval, a process that will allow others to weigh in on the potential deal.

  • A hearing is scheduled for Jan. 30, according to Robert Chernicoff, an attorney for Uptown Partners.
  • A few parcels in Governor’s Square in the 500 block of Peffer Street are being transferred to Homeland Center, a senior-living facility that sits next door, according to court documents.

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