Reported by Star-Bulletin staff & wire
Thursday, August 22, 1996
Reported by Star-Bulletin staff & wire
Thursday, August 22, 1996
The so-called "lock-box" agreement received unanimous approval yesterday by the Aloha Tower Development Corp.'s seven-member board of directors.
Last week, the developer of the marketplace, Aloha Tower Associates, and Mitsui Trust & Banking Co. agreed to set up the special banking account that would give Mitsui some control over payments to creditors.
The arrangement was an alternative to Mitsui's request Aug. 14 that a court-appointed receiver be placed in charge of the marketplace. Circuit Judge Allene Suemori last Thursday named local real estate executive Sanford Murata as receiver to the Aloha Tower Marketplace.
Last month, Mitsui filed a foreclosure suit against Aloha Tower Associates, alleging that the developers made no payments on a $60 million loan that it issued back in September 1993.
In May, Aloha Tower Associates sued Mitsui, alleging that the lender reneged on more than $600 million in financing.
The legal actions should not affect marketplace operations, both sides have said.
Still, the increase leaves fixed, 30-year rates near a 17-week low of 7.88 set earlier this month.
Freddie Mac said the average adjustable mortgage rate, more sensitive to immediate swings in interest rates, fell to 5.79 down from 5.81 percent a week earlier. Fifteen-year mortgage rates averaged 7.45 percent, up from last week's rate of 7.39 percent.
The restaurant chain said its developers will open about 2,700 stores over the next seven years, tripling previous plans. It also is evaluating international expansion. A spokeswoman said the company is not looking for a Hawaii site.
The company has about 970 stores, 91 company owned.