Zuca Properties wins confirmation of Chapter 11 pre-packaged plan

By Sarah Lizee

Olympia, Wash., July 23 – Zuca Properties LLC’s pre-packaged Chapter 11 plan has been confirmed, according to an order filed Friday with the U.S Bankruptcy Court for the Southern District of New York.

As previously reported, the two condominium units that Zuca owns are encumbered by multiple mortgages. Zuca is also in default of its obligations to JPMorgan Chase Bank, NA and Tecref Sarl.

Zuca engaged in discussions with JPMorgan and Tecref to chart a path forward, and ultimately, the debtor determined that the best way to successfully accomplish a sale and to preserve and maximize value of its assets was through the pre-packaged Chapter 11 filing.

Based on the estimated property values of the condo units, Zuca anticipates that JPMorgan as first-lienholder will be paid in full out of the proceeds of the sales.

Zuca also said Tecref’s secured claim to be paid in full in cash, as well as other secured claims, according to the disclosure statement.

Priority claims and convenience claims will also be paid in full in cash.

Holders of unsecured claims other than convenience claims will receive their pro rata share of available cash.

Equity interests will be reinstated but without any distribution to holders until all unsecured claims are satisfied in full.

The Geneva-based owner of two penthouse condominium units located in New York filed bankruptcy under Chapter 11 case number 21-11082.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.