The Princeton Club of New York closes its doors “indefinitely” in the event of a financial crisis

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(Bloomberg) – The Princeton Club in New York has closed its doors for good.

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The legendary downtown private club closed “indefinitely” on Friday, club president Christine Loomis said in an email to members obtained by Bloomberg.

The club’s $ 40 million mortgage debt is in default and sold at auction. So far, no white knight has emerged to buy the ticket and make things work.

Members can access the Cornell Club, Penn Club and other reciprocal locations at the moment, Loomis said. Repeated efforts to secure financial aid from Princeton University have come to naught, she said.

“I want to be clear, we don’t have the money to keep the club running,” Loomis said. “The university is aware that its decision not to support the club means that the club may cease to exist. Once the final purchaser of the tickets is identified, we will be able to determine if they will allow us to raise funds. to resume operations.

After receiving six months of forbearance on its $ 39.3 million debt from lender Sterling National Bank that ended in September, the club went into default and the bank asked Newmark Group Inc. to sell the note. by the end of November, people familiar with the situation said. earlier this month.

The club, which had four homes before moving to its current location at 15 W. 43rd St. in 1963, dates back to 1866.

Unlike other downtown Ivy League alumni clubs, many of which are located nearby in an area known as “Clubhouse Row,” the Princeton Club of New York does no financial relationship with the University of New Jersey, one of the richest in the world. nation. In contrast, the Cornell Club on East 44th Street has been owned by Cornell University since 1986.

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