SouFun Holdings Ltd., a company traded on the New York Stock Exchange, purchased NYMA this afternoon for $15.825 million. Earlier in the day the company’s stock had risen by seven percent.
This was not the company’s first foray into Orange County. In 2011 SouFun purchased Arden House, the former Harriman estate, for $6.5 million.
The auction at the US Bankruptcy Court in Poughkeepsie was competitive, with Global Preparatory Academies represented by their attorney.
The bidders met for over an hour in a small conference room with attorneys for the mortgage holders and with representatives of Hilco Marketing, the firm that conducted the sale.
During this time, a crowd waited in the lobby. The bystanders included attorneys, town officials, NYMA employees and members of the public. At 2 p.m., an hour after the official start time, they entered a large meeting room to witness the auction.
After confirming that both parties were qualified, the auctioneer started the bidding at $13.125 million. He stipulated that bids would have to be made in increments of $100,000.
The two opponents sat in different parts of the room. The attorney for global kept a cell phone to his ear. As the selling price was raised, he waited for an OK to make another bid.
There was a pause after SouFun’s final bid. The Global attorney gestured with his hand to indicate he was finished. The auctioner said “Going once, twice, three times,” and the audience applauded.
A few people tried to question the successful bidder, but he wouldn’t respond. His bid was considerably above the amount that NYMA owes to its secured and unsecured creditors.
Anthony Desa, the president of the NYMA trustees, was obviously elated. He flashed a thumbs up signal and accepted hugs and congratulations from his staff members.
NYMA’s commandant, Master Sgt. Fletcher Bailey was at the auction in his dress uniform. “Is it good?” he was asked.
“It’s good for now,” he responded with a smile, but then added a word of caution. “But it ain’t over until it’s over.”
NYMA is on the court’s agenda for Oct. 8 at 2 p.m., at which time Judge Cecelia Morris will review the terms of the sale.
