In August, 2004, Bruce S. Brickman & Associates, through an affiliate LLC, with Haberhill as a partner, purchased substantially all of the revenue bonds, at significant discount to par, indirectly secured by a mortgage on the Holiday Inn at JFK Airport in New York City. On October 15th of 2004, the bond-holders, with Haberhill’s assistance, filed a motion in New York state court to accelerate the bonds and foreclose on the hotel. On October 29th, the borrower under the bonds filed Chapter 11 proceedings in Federal Court in Philadelphia. During the bankruptcy process, Haberhill is providing the following services:
- Monthly reviews of hotel operating performance;
- Attendance and business representation in bankruptcy proceedings;
- Business oversight related to the preparation of third-party appraisals and property condition assessments;
- Assistance in preparation of reports and testimony of expert witnesses;
- Interaction with attorneys, as needed, related to all aspects of the bankruptcy.
In March 2007, the hotel was sold through a bancrupcy court-ordered auction and the bondholders were repaid at par.