Magic Johnson's Condo Project Files For Bankruptcy
Magic Johnson has become the latest celebrity to be affected by bankruptcy. It's not his personal holdings that are in trouble but one of this investments, the 110 Green St. Development LLC, the developer behind the Viridian condo project in Brooklyn, NY. The developer is seeking Chapter 11 bankruptcy protection and is converting the condos into rental units instead to keep pace with the changing New York City real estate market.
The Canyon-Johnson Urban Fund, a private real estate fund focused on urban properties, gave the development $12.3 million in mezzanine financing. 110 Green St. Development also has a loan of $35.75 million from the Bank of New York. Curbed reports that the entire building is being shopped around to investors for $65 million.
Gallery: Celebrity Foreclosures