Pershing, Winthrop Appeal Stuy-Town Ruling

VNEW YORK CITY-The partnership of Pershing Square Capital Management and Winthrop Realty Trust that’s seeking to take control of Peter Cooper Village/Stuyvesant Town has appealed last Thursday’s ruling in favor of the senior lenders on the Manhattan apartment complex. Court documents show that the partnership, known as PSW NYC LLC, filed the appeal Friday with the Appellate Division of New York State Supreme Court.

In a pre-argument statement also filed Friday, PSW attorney Edward Weisfelner of Brown Rudnick LLP argues that the ruling by Justice Richard B. Lowe III contains “several errors of law.” Lowe ruled that the intercreditor agreement on the $3-billion first mortgage for the 2006 purchase of Stuy-Town was “unambiguous” in requiring that PSW pay off the mortgage before assuming control of the 11,227-unit complex.