Centerline Capital Group Completes
Centerline Sells CRE Investment Management and Special Servicing Businesses to Island Capital Group and
Recapitalizes and Retains LIHTC Origination, Asset Management, Affordable and Conventional Multifamily
March 08, 2010 08:51 AM Eastern Time
NEW YORK--(EON: Enhanced Online News)--Centerline Capital Group (“Centerline”), a real estate asset
management and financial services firm and subsidiary of Centerline Holding Company (the “Company”), announced
today it closed a series of transactions with Island Capital Group LLC (“Island Capital”) and the Company’s
creditors and preferred shareholders. The transactions, which eliminated approximately $1.6 billion of aggregate
liabilities and contingent exposure and provided over $100 million of new equity, restore Centerline to financial
stability by restructuring substantially all of its outstanding debt. Centerline also sold its real estate debt fund
management and commercial mortgage loan special servicing business to an Island Capital affiliate, C-III Capital
Partners LLC (“C-III”), and recapitalized the majority of the outstanding equity interests in the Company.
Centerline retains and will continue to operate its core businesses: Low-Income Housing Tax Credit (LIHTC)
origination, asset management, and affordable and conventional multifamily lending, principally as an agency, or
Government-Sponsored Enterprise (GSE), lender.
Centerline has entered into an advisory agreement with an affiliate of Anubis Advisors (“Anubis”), a wholly-owned
subsidiary of Island Capital. Anubis will provide strategic, restructuring, and general advisory services to Centerline.
Island Capital was founded and is controlled by Andrew L. Farkas, who also founded Insignia Financial Group, Inc.
(“Insignia’), which grew to one of the world’s largest commercial real estate owners and operators by the time of its
sale in 2003.
Centerline remains a public company (OTC: CLNH); however, the natu