Red Ink At Landmark Theatres As Fortress Slams Charles Cohen For Transferring Personal Assets Amid Lawsuit
deadline.comLandmark Theatres plunged in value from Covid, high interest rates and Hollywood strikes to the tune of hundreds of millions of dollars, according to a May deposition by Landmark owner Charles Cohen disclosed in ongoing litigation with lender Fortress Credit Corp.
The deposition was filed by Fortress in New York State Supreme Court, where a judge has ruled that Cohen defaulted on a loan and must auction off underlying properties including Landmark to pay it back.
The judge also ruled in a separate but related case that Cohen is on the hook for a $187 million personal loan guarantee pending the results of the auction, which is set for November 8 unless the two sides agree to a settlement.
The clock is ticking, but a person familiar with Cohen’s thinking says he believes a settlement may be possible. Asked for comment today, a rep reiterated that Landmark “is still committed to staying in business and is anticipating a positive solution.” In a flurry of filings over the past few days, Fortress attempted to illustrate through the deposition and other documents that the properties to be auctioned are in the red and so auction proceeds will almost certainly fall short of the amount owed by the New York real estate mogul.
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