RTC setting stage for package sales.During the past few months at least 12 institutions have started to market large fund packages in an effort to sell off billions of dollars of problem real estate. Some of the packages are similar to the Resolution Trust Corporation's (RTC See real time clock. ) National Land Fund, which pools together distressed real estate assets into a series of limited partnerships between the government and private investors to develop or sell off parcels of land. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Gordon M. Alpert, a real estate partner at the New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of law firm Rosenman & Colin, who structured the National Land Fund for the RTC, "The RTC is setting the stage for financial institutions looking to unload their undervalued Undervalued A stock or other security that is trading below its true value. Notes: The difficulty is knowing what the "true" value actually is. Analysts will usually recommend an undervalued stock with a strong buy rating. real estate. By structuring a fund similar to the National Land Fund, banks and insurers who do not see a turnaround for the real estate market in the foreseeable future will be able to team up with private investors and give them a chance to maximize the recovery value." Some of the private lenders who have already liquidated DAMAGES, LIQUIDATED, contracts. When the parties to a contract stipulate for the payment of a certain sum, as a satisfaction fixed and agreed upon by them, for the not doing of certain things particularly mentioned in the agreement, the sum so fixed upon is called liquidated damages. (q.v. assets with a total book value of $11.4 billion include BankAmerica Corp., Fleet Financial Group, Inc., Mellon Bank, First Chicago Corp. Another dozen financial institutions are expected to offer $8 billion of problems real estate assets by the end of the year. The National Land Fund's assets include commercial loans, undeveloped land and partially constructed projects - primarily located in Arizona, California, Colorado, Florida and Texas with an approximate book value of $1.8 billion. The RTC recently announced that West Coast Equity, L.P., Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , California, and SunChase Land Fund, Roseville, California Roseville is a city in Placer County, California, located in the metropolitan area of Sacramento. As of January 1 2007 the population was 106,266. Interstate Highway 80 runs through Roseville and California Route 65 bisects the northern part of the city. , were the bid winners for the National Land Fund's auction of six regional pools. The land, which the RTC wfil contribute to the National Land Fund, represents its 75 percent passive stake in the partnership. The private investor group will contribute the other 25 percent of the pool's book value, acting as the general partner responsible for selling or developing the land or collecting debts and the RTC will act as a limited partner. RTC and private investors will share all proceeds recovered proportionately until each recovers an amount equal to its initial investment. Cash flows will be divided 50/50 at that point. |
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