Harbinger's Falcone Takes $22.5 Million Mortgage

Dec 17 2010 | 1:42am ET

Harbinger Capital Management founder Philip Falcone seems to be in need of an awful lot of cash these days.

Falcone and his wife, Lisa Maria, took a $22.5 million mortgage on their Upper East Side townhouse in the spring, The Wall Street Journal reports. The couple bought the home—one of the largest in Manhattan, formerly owned by Penthouse founder Bob Guccione—just two years ago for $49 million. In cash.

The mortgage followed a $113 million loan Falcone took from Harbinger's hedge funds last year to cover a tax bill. More recently, the Falcones secured a loan for an unspecified amount, putting up some of their art collection as collateral.

The East 67th Street home, with its 27 rooms, had no mortgage on it before May. The mortgage is of the 30-year adjustable-rate variety, with an initial rate of 2.357%. Citigroup provided the loan.

"This is a normal ordinary course mortgage financing on Mr. Falcone's home that was completed seven months ago and has no relevance to Harbinger Capital Partners' business or its investors," a Falcone spokesman said.

In Depth

PAAMCO: Will Inflation Deflate the Asset Bubble?

Jan 30 2018 | 9:49pm ET

As the U.S. shifts from monetary stimulus to fiscal stimulus, market pricing should...


CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Boost Hedge Fund Marketing ROI By Raising Your ROO

Feb 14 2018 | 9:57pm ET

Tasked with delivering returns on client capital, a common dilemma for many alternative...


FINalternatives Trending

From the current issue of