8.	Equity Investments

Under liquidation accounting, equity investments are carried at net realizable value. The Trust’s nominal ownership percentages in its equity investments consist of the following at June 30, 2016 and December 31, 2015:


Venture Partner	Equity Investment	Nominal % Ownership at June 30, 2016	Nominal % Ownership at December 31, 2015
Atrium Holding	RE CDO Management LLC	50.0%	50.0%
Freed	Mentor Retail LLC	49.9%	49.9%
Inland	Concord Debt Holdings LLC	66.6%	66.6%
Inland	CDH CDO LLC	49.6%	49.6%
Marc Realty	Atrium Mall LLC	50.0%	50.0%
New Valley/Witkoff (1)	701 Seventh WRT Investor LLC	81.0%	81.0%
RS Summit Pointe (2)	RS Summit Pointe Apartments LLC	80.0%	80.0%
Serure/CB High Line (3)	446 Highline LLC	84.3%	83.6%
Elad Canada Ltd (4)	WRT One South State Lender LP	N/A	50.0%
Elad Canada Ltd (4)	WRT-Elad One South State Equity LP	N/A	50.0%

(1)	The Trust’s investment in this venture provides the Trust with a 61.14% effective ownership interest in the underlying property.

(2)	The investment was previously consolidated under going concern accounting. See Note 3 “Liquidation Basis of Accounting” for further discussion.

(3)

The investment was reclassified as an equity investment as of December 31, 2015 due to a change in exit strategy. The investment was included in investments in real estate in previous filings. The nominal ownership percentage is based on the waterfall provision of the partnership. See Note 3 “Liquidation Basis of Accounting” for further discussion.

(4)	The Trust sold its interest in this venture on April 27, 2016.

701 Seventh Avenue – The Trust invested an additional $2,079,000 in this venture in the second quarter of 2016 bringing its total invested capital in the venture to $122,765,000 at June 30, 2016. To date in the third quarter of 2016 the Trust has invested an additional $2,201,000 in this venture. The Trust has committed to invest up to $125,000,000 in the aggregate to this venture.

Sullivan Center – The Trust had committed to fund 100% of retail tenant improvements and capital expenditure needs and 80% of office tenant improvements and capital expenditure needs at the Sullivan Center property in Chicago, Illinois that were not met by current operating cash flow at the property. The Trust funded $2,794,000 in the first quarter of 2016 for improvements. All amounts funded were considered additions to the mezzanine loan and accrued interest at the rate of 15% per annum.

On April 27, 2016 the Trust sold its interests in WRT One South State Lender LP and WRT-Elad One South State Equity LP to its venture partner for aggregate gross proceeds of $95,270,000. The sale of its interest in WRT One South State Lender LP includes the ownership interest in the mezzanine loan that was classified as a secured financing for financial reporting purposes.

Mentor Retail – On June 10, 2016 the venture in which the Trust holds a 49.9% interest entered into a contract to sell its property for gross proceeds of $10,450,000. The buyer’s $400,000 deposit under the contract is non-refundable as of July 14, 2016. If consummated, the sale is expected to close in the third quarter of 2016. Based on the contract for sale, the Trust expects to receive future distributions from the venture of approximately $3,973,000. The liquidation value at June 30, 2016 has been increased by approximately $1,055,000 to reflect the Trust’s expected share of future distributions from the venture.

446 Highline LLC (450 West 14^th Street) – refinancing – On April 13, 2016 the venture in which the Trust holds a preferred equity interest refinanced the first mortgage debt collateralized by the underlying property. In connection with the refinancing, the Trust funded approximately $3,175,000 to the venture to cover closing costs and to fund initial escrows. Of this amount, $2,540,000 is considered to be a capital contribution and the remaining $635,000 was a loan to its venture partner. The partner loan bore interest at 12% per annum and was due on July 5, 2016. The partner loan was repaid in full in July 2016. Upon repayment of the partner loan, the venture partner has been deemed to have made a capital contribution to the venture in the amount of the partner loan. The new contributions have a priority in distributions made by the venture.