A Louisiana judge has authorized power plant operator Market Street Properties LLC to sell two properties to Boxer Finance LLC for a $2 million reduction of the buyer's claim.
Judge Elizabeth W. Magner of the U.S. Bankruptcy Court for the Eastern District of Louisiana in New Orleans approved the sale on Dec. 27, court minutes show. No order, however, had been signed as of the morning of Tuesday, Jan. 3.
Boxer will acquire Market Street's so-called Tchoupitoulas Properties for a $2 million credit bid. According to the Dec. 6 sale motion, the properties include two parcels adjacent to the debtor's primary asset, a 500,000-square-foot power plant.
The Tchoupitoulas properties are encumbered by a $5 million first-lien mortgage in favor of Boxer under a Jan. 16, 2007, agreement. Market Street said in documents that there is no equity in the property. The sale is the outcome of a settlement between the debtor and Boxer filed on Sept. 27.
Market Street filed for Chapter 11 on Dec. 23, 2009.
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