Something's questionable here.
NYC investment firm takes 25% stake in Nassau Coliseum operator, Newsday reported 7/23/21, citing Fortress Investment Group's undisclosed investment "in Nassau Live, which holds the lease on the Coliseum, according to a resolution adopted Thursday by the Nassau County Industrial Development Agency."
That means Nick Mastroianni, who somehow transformed from the middleman arranging the $100 million EB-5 loan from 200 immigrant investors to the holder of the lease after Mikhail Prokhorov's Onexim defaulted on the loan, has gained either an infusion of cash now or, at least, a fellow investor for the larger Hub plan around the Coliseum. That plan is steered by another company, RXR, with Nassau Live Developer as minority partner.
IDA chairman Richard Kessel, unsurprisingly, called it a "show of confidence" and Nassau County Executive Laura Curran suggested that this now means more money for Coliseum operations.
NYC investment firm takes 25% stake in Nassau Coliseum operator, Newsday reported 7/23/21, citing Fortress Investment Group's undisclosed investment "in Nassau Live, which holds the lease on the Coliseum, according to a resolution adopted Thursday by the Nassau County Industrial Development Agency."
That means Nick Mastroianni, who somehow transformed from the middleman arranging the $100 million EB-5 loan from 200 immigrant investors to the holder of the lease after Mikhail Prokhorov's Onexim defaulted on the loan, has gained either an infusion of cash now or, at least, a fellow investor for the larger Hub plan around the Coliseum. That plan is steered by another company, RXR, with Nassau Live Developer as minority partner.
"Fortress sees a real real-estate opportunity here," Newsday reported Mastroianni attorney, Peter L. Curry telling the IDA at a meeting. "This is a pretty strong indication that they view [the Coliseum and proposed Nassau Hub redevelopment] as a valuable project."
IDA chairman Richard Kessel, unsurprisingly, called it a "show of confidence" and Nassau County Executive Laura Curran suggested that this now means more money for Coliseum operations.
That's unclear, to me, if Fortress is only in it for the Hub portion. Note that there are apparently two entities, Nassau Live Center, regarding the Coliseum, and Nassau Live Developer, regarding the Hub.
The Times Square project
Keep in mind that, not long before Mastroianni invited new investment, he was encouraging EB-5 investors to shift their money from the Coliseum loan, given the likelihood they wouldn't be paid back from Coliseum operations (Nassau Live Center), to a project in Manhattan called TSX Broadway.
That would offer a greater investment return, the letter to investors stated, though it also oversold the project, for example citing an appraisal that was surely out of date.
From Newsday's recent article:
Mastroianni's attorney told the IDA that Fortress, RXR and Mastroianni aren’t strangers. For example, Fortress and Mastroianni are investors in a $4 billion project near Times Square that includes construction of a luxury hotel, retail stores and renovations to a Broadway theater.Unmentioned: the fishy aspects of the effort to shift EB-5 investors.
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