Centerline Capital Group (“Centerline”), a provider of real estate financial and asset management services, with a focus on affordable and conventional multifamily housing, and a subsidiary of Centerline Holding Company (OTC: CLNH), today announced that Marc D. Schnitzer, Chief Executive Officer and President of Centerline, intends to retire from the board of trustees of Centerline Holding Company and from the offices of Chief Executive Officer and President of Centerline to join an affiliate of Island Capital Group LLC (“Island Capital”).
On April 7, 2010, Robert L. Levy, who joined Centerline in 2001 and has been its Chief Financial Officer since 2006, was appointed to Centerline’s board of trustees and named Chief Operating Officer of Centerline. Mr. Levy also will assume the role of President of Centerline, effective upon Mr. Schnitzer’s resignation. Mr. Levy, a 23-year veteran of the commercial real estate finance industry, will concentrate on the expansion and diversification of Centerline’s multifamily finance and asset management platforms.
In his role as CFO of Centerline, Mr. Levy has been responsible for overseeing the Corporate Finance, Capital Markets, Accounting, Tax and Treasury Departments. “I appreciate the confidence the board has shown in providing the opportunity for me to help lead Centerline back to its position as an affordable and conventional multifamily finance industry leader. I do not expect it to be an easy process, but we have the systems and people in place to achieve our goals and I look forward to the challenge,” said Mr. Levy.
Mr. Schnitzer has been part of Centerline, and its predecessor companies, Related Capital Company and CharterMac, since 1986, where he assembled and led a team that raised and deployed $10 billion of investor equity in a portfolio of more than 1,400 Low-Income Housing Tax Credit (LIHTC) properties. In his new role, he will establish and lead a new business venture to expand the investor base in the affordable housing industry.
“Tax credit market conditions have created unique opportunities for savvy investors to take advantage of historically attractive deal terms and risk adjusted yields,” said Mr. Schnitzer. “I will use my 24 years of experience in the affordable housing industry to make these opportunities available to new, non-traditional investors as well as investors already familiar with the affordable market. In our new venture, we will strive to increase primary and secondary market liquidity in the tax credit industry and help build more affordable housing.” In addition, Mr. Schnitzer will provide advisory services to affordable housing investors and identify non-LIHTC investment opportunities that exist within the affordable housing industry as a result of distressed market conditions.
Island Capital is a real estate merchant banking firm established in 2003 and the parent company of C-III Capital Partners LLC (“C-III Capital”) and Anubis Advisors (“Anubis”). In a comprehensive restructuring transaction completed March 5, 2010, C-III Capital became a 40-percent owner of Centerline, and Island Centerline Manager LLC, a wholly-owned subsidiary of Anubis, became the external manager of Centerline.
Centerline Capital Group was founded in 1972 to finance and develop affordable housing properties. It has evolved over the years to a real estate finance, fund management and asset management company serving the affordable and conventional multifamily sector.
About Centerline Capital Group
Centerline Capital Group, a subsidiary of Centerline Holding Company (OTC: CLNH), provides real estate financial and asset management services, with a focus on affordable and conventional multifamily housing. Centerline is headquartered in New York, New York. For more information, please contact Elizabeth Haukaas at 212.521.6453.
Certain statements in this document may constitute forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Other risks and uncertainties are detailed in Centerline Holding Company's most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission, and include, among others, business limitations caused by adverse changes in real estate and credit markets and general economic and business conditions; our ability to generate new income sources, raise capital for investment funds and maintain business relationships with providers and users of capital; changes in applicable laws and regulations; our tax treatment, the tax treatment of our subsidiaries and the tax treatment of our investments; competition with other companies; risk of loss under mortgage banking loss sharing agreements; and risks associated with providing credit intermediation. Words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates" and similar expressions are intended to identify forward-looking statements. Such forward-looking statements speak only as of the date of this document. Centerline Holding Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Centerline Holding Company's expectations with regard thereto or change in events, conditions, or circumstances on which any such statement is based.
Contacts:
Elizabeth Haukaas, 212-521-6453
