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Monday, January 5, 2015

Sale of Atlantic City's Revel approved despite fight with buyer, (NYSE: BAM)

A U.S. bankruptcy judge approved on Monday the sale of the shuttered Revel Casino Hotel in Atlantic City, New Jersey, to a Florida developer for $95.4 million, a price the buyer said he now doesn't want to pay.Judge Gloria Burns in Camden, New Jersey, approved the sale to Glen Straub but rejected his argument that the price should be cut to $87 million because the auction process was tainted by conflicts and a lack of transparency. Straub's attorney said he will appeal the ruling.Lawyers for Revel, which cost $2.4 billion to build, sought approval to sell the casino to Straub's Polo North after an affiliate of Brookfield Asset Management which walked away last month from its $110 million agreement for the hotel. Money from the sale will help pay Revel's creditors.During a break in the hearing, Straub and his attorney declined to say whether they would close the deal. Straub said Revel was just one project of many he had planned for the Atlantic City region.

Brookfield Asset Management Inc. (Brookfield) is a global alternative asset manager. Shares of BAM fell by 0.87% or $-0.44/share to $49.88. In the past year, the shares have traded as low as $36.47 and as high as $50.77. On average, 546194 shares of BAM exchange hands on a given day and today's volume is recorded at 482991.