A Stuy-Town Simile
It looks like the elected officials who represent Stuyvesant Town and Peter Cooper Village are bracing for the complex to default, and they’re already reminding the complex’s lenders–Fannie Mae and Freddie Mac–about how the lenders themselves needed a bit of help last year.
In a letter to Fannie and Freddie, the electeds–U.S. Representative Carolyn Maloney, Councilman Dan Garodnick, State Senator Tom Duane, Borough President Scott Stringer and Assemblyman Brian Kavanagh–write:
When the federal government decided it needed to use taxpayer money to help restore solvency to Fannie and Freddie, it involved a massive restructuring. While a painful process, it was ultimately necessary to ensure that your companies would remain strong for future generations. Much in the same way, we need to ensure that ST/PCV will be in place for future generations of middle class New Yorkers.
Fannie and Freddie own part of the building’s $3 billion mortgage, and some of its other debt. As of May, the two companies had received about $400 billion dollars in public funds.