Bidders making a run at the Stuyvesant Town/Peter Cooper Village apartment complex needed to cough up more than $4.5 billion to make it into the second round, The Post has learned.
Over a dozen initial bids were received yesterday, with seller Met Life hoping to pocket $5 billion for the Manhattan buildings.
Those grouped at the top are expected to include Related Companies with Lehman Bros.; Ramius Capital with Apollo Real Estate; and Tishman Speyer. Andrew Farkas’ Island Capital Group was also said to be bringing in his Dubai-money partner.
The tenants’ group has also submitted a “very competitive bid,” said Councilman Dan Garodnick, who lives in one of the 1,100 units up for grabs.
By 4 p.m. yesterday brokers from CB Richard Ellis were telling a handful of hopefuls who had spent millions on due diligence they hadn’t made the steep cut.
In most cases, housing operators were teaming with deeper equity-lined pockets.
Those expected to reach the short list to make best and higher bids were likely underwriting the job as a conversion and not as a rental, industry experts said.
Additionally, the winning buyer will be ready to plunk down hundreds of millions of dollars as a non-refundable deposit.
“Our goals of preserving affordable housing while allowing Met Life to make a considerable profit will prevail,” said Garodnick, of the tenants’ bidding group.
He declined to reveal their real estate or institutional partners.
Local player Howard Milstein put money on the table, as did Richard LeFrak, who was possibly teamed with Dune Capital.
Westbrook Partners was hovering in the $4.5 billion range, as was Larry Gluck’s Stellar Management with Vornado Realty Trust, but it could not be learned if they made the next round.
Rose Associates, which currently manages the project for Met Life, did not bid.
Other locals who may have placed bids or are ready to place equity with the winner are Lloyd Goldman, Stanley Chera and Ruby Schron, whose company owns the similar Trump housing portfolio. (p. 35 Metro)