Thursday, January 18, 2018
What is the value of a New York City Taxi Medallion?
As our readers know, we’ve been representing many “underwater” taxi medallions (where the value of the medallion is less than the loan securing it). And unfortunately for medallion owners, based on a recent auction, no relief with respect to taxi medallions increasing in value seems to be in sight. Crain’s New York Business reports that an auction of seven medallions on January 16th organized by seller Aspire Federal Credit Union and Windels Marx (their law firm) never exceeded $200K per medallion. A block of five medallions was sold to the stalking–horse bidder for $875K ($175,000 per medallion) and two additional medallions sold for $189,000 and $199,000. Three years ago, these medallions sold for over $1,300,000- an approximately 90% drop in value. Jim Shenwick has represented taxi medallion clients with loans from Aspire. For information on how to manage the declining value of your taxi medallion, please contact Jim Shenwick.
Posted by James Shenwick