Onexim could cede control of the Coliseum lease to its lender | Herald Community Newspapers
Onexim Sports and Entertainment, the company that operates the Nassau Coliseum through its subsidiary Nassau Events Center, could cede control of the arena and development of the Nassau Hub to its lender, the US Immigration Fund.
In a statement released on July 14, Nassau County Director Laura Curran said “discussions are progressing” on the future of Coliseum and Hub development between the County, Town of Hempstead, NEC, the USIF and Onexim’s development partner, RXR Realty.
According to Curran’s statement, USIF would “step into the shoes” of NEC and Onexim would cease owning the Colosseum and end plans to develop the 72 acres surrounding it, known as the Nassau Hub.
“As a result of these discussions, the parties are on track to bring the New York Islanders back to the Coliseum for the 2020-21 season,” said Curran.
Scott Rechler, chief executive officer of RXR Realty, said in a statement that the dialogue with Onexim was “constructive” and he is “confident that the Coliseum will be ready for the return of the New York Islanders for the 2020-2021 season. . “
And Town of Hempstead Supervisor Don Clavin said in a statement he was “delighted with the positive news regarding the future of the arena.”
The dialogue came about a week after Nassau County sent Onexim a notice of default, demanding that the company pay $ 2 million in overdue rent in 15 days or risk losing its lease. If Onexim does not pay the $ 2 million, it would result in an “event of default” and mean the county could terminate its lease.
The lease represents an additional 30 days during which NEC’s lender, USIF, could “step into the tenant’s shoes” and pay the rent before the county can end the lease.
USIF is based in Jupiter, Florida, and headed by Nick Mastroianni II. Although not directly linked to the U.S. government, the USIF created a $ 100 million Colosseum renovation loan soliciting 200 Chinese investors through a federal program that in turn grants visas for creative projects. jobs.
Bruce Ratner, owner of Forest City Ratner, sold the Coliseum lease to Onexim in 2015 and developed the finance program. Mastroianni then got the loan from another company called Nassau Coliseum Funding 100.
About a month ago, Onexim first announced that he was looking for a new party to take control of the Colosseum and would keep the Uniondale arena closed until then.
According to a statement provided by Onexim, the Coliseum has suffered a “devastating effect” from the loss of income usually earned from New York Islanders hockey games, in addition to canceling all scheduled concerts and events.
“We are engaged in a productive conversation with all stakeholders,” read a statement from Onexim explaining the decision. “We hope to soon be able to announce a resolution that will meet the needs of the community while taking into account the new realities we all face in light of the pandemic.”
Onexim declined to comment on discussions regarding the transfer of control to USIF.