Yankee Stadium Garage Loss Widens as Fans Balk at PricesBy
Parking facilities debt trading at 29 cents on the dollar
Forbearance agreement extended through December 31, 2016
The last-place New York Yankees aren’t the only struggling enterprise in the Bronx. Documents show the net loss on the municipal-bond financed parking garages outside Yankee Stadium widened last year to $31.2 million.
Bronx Parking Development Co. issued $237.6 million of municipal bonds in 2007 through New York City’s Industrial Development Agency to build three garages and renovate two others.
The garages and five parking lots, which have about 8,700 public spaces, have suffered as more fans take public transportation to the Major League Baseball games and drivers balk at paying $25 to $35 to park. In June 2015 fewer than 10 percent of fans attending Yankees games parked in the garages, according to bond filings.
Bondholders, including Nuveen Asset Management, which holds about $140 million of the debt, have extended a forbearance agreement with Bronx Parking through December 31. Bonds maturing in 2037 traded at about 29 cents on the dollar on June 9.
About $9 million in principal matures on Oct. 1, 2017. In 2015, bondholders were paid $5 million in interest based on terms of the forbearance, according to Bronx Parking’s financial statement.
Kathleen Cardoza, a spokeswoman for Nuveen, declined to comment on the Yankees parking garage bonds.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.