Under a plan approved today by Superior Court Judge Nelson K. Mintz, the associates, including more than 150 limited partners, will seek refinancing for mortgage payments and modernization of the Wiss Building to cost about $1,000,000.
The plan was presented to the court by Maurice A. Schapira and Samuel Saiber, lawyers for the partners. The receivers for the properties, Adrian M. Foley Jr. and Frank A. Schlesinger, also approved the plan.
Due to the agreement, Judge Mintz rejected a purchase bid of $880,489 for the parcels. The bid was made by Arnold Kent of Newark, representing a group of investors. The bid was for $326,000 over and above mortgages totaling $554,489.
Beside, the Wiss building at 665-671 Broad St., the parcels include the Newark Drug Store at 673-675 Broad St. and the Jordan Building at 661-663 Broad St.
Schapira said acceptance of the Kent bid would have given the limited partners a return of only 25 cents on the dollar of their investment, which totaled more than $1 million.
Mortimer L. Schultz of Plainfield, a general partner in the syndicate, has been barred by Judge Mintz from using his powers as a partner. Schultz is free in $25,000 bail pending an appeal of his conviction June 16 of, fraud and misuse of funds dealing with his activities in three syndicates, including Wiss Associates.
Schapira said the modernization of the Wiss Building is expected to include new elevators and renovation, particularly of the public areas of the building, including lobbies. The associates will operate the buildings for rental income.