GEORGETOWN, Del. (AP) — A Delaware judge is holding a hearing to determine a price at which a lender can exercise an option to purchase the former presidential yacht Sequoia or cede possession to its current owners.
Wednesday’s hearing involves the Sequoia, a National Historic Landmark that has lain rotting in drydock amid a lengthy lawsuit over repair costs and other financial liabilities.
Lender FE Partners LLC has an option to purchase the yacht for a default value of $7.8 million, but attorneys are arguing over how much that price should be reduced because of needed repairs and other liabilities.
FE Partners contends it will cost about $4 million to properly repair the wooden-hulled boat.
The current ownership group says it will cost only about $300,000 to address problems outlined in Coast Guard inspections.
