Troubled CF Income Partners to Sell Its Properties for About $169 Million

CF Income Partners, a troubled Los Angeles-based real estate concern, said Wednesday that it has reached an agreement to sell its far-flung portfolio of properties to two large investment firms for nearly $169 million.

Apollo Real Estate Advisors, run by former Drexel Burnham Lambert official Leon Black, and JMB Realty agreed to buy the properties less than two weeks after a similar sale to American Continental Properties for nearly $183 million fell through.

Dennis Sondker, general partner of CF Income, said completion of the sale to Apollo and JMB could allow CF Income to avoid filing for bankruptcy. But Sondker also noted that CF Income first must settle the lawsuits against it and resolve a dispute with a subsidiary of California Federal Bank, its primary lender.

Closely held JMB is one of the nation’s biggest real estate companies. It owns dozens of properties in Southern California, including several mid-rise and high-rise buildings on the Westside. Apollo’s Black is a frequent investor in distressed and reorganized companies through Apollo and its affiliates.