Bankruptcy Court Allows Firm To Pull Out of Five Floors at Wells Fargo Plaza at 1000 Louisiana St., Firm Seeking To Get Out of Rest
Dynegy Inc. filed a voluntary petition to reorganize under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York.
The bankruptcy case of Dynegy's wholly-owned subsidiary, Dynegy Holdings LLC, is already pending in the same court.
Dynegy Inc.'s filing included a pre-approved plan to merge the two entities and emerge as Dynegy Inc. at the end of the process.
Dynegy's subsidiaries produce and sell electric energy.
As part of Dynegy Holdings' filings, the bankruptcy court approved an amendment to its 181,311-square-foot lease at Wells Fargo Plaza at 1000 Louisiana St. in downtown Houston. Under the amendment, Dynegy will be allowed to abandon floors 62 through 66 (130,000 square feet in total.) The lease amandment will enable the firm to save $2 million in rent this year and another $22.6 million over the next six years through the end of the lease. Also, Dynegy did not have to pay landlord MetLife a lease termination fee.
Dynegy Holdings also has asked the bankruptcy court to cancel the lease for the remainder of the space on floors 58, 60 and 61.
Last November, Dynegy Inc. entered into a new 124,522-square-foot lease that expires in 2022 for new principal executive office at 601 Travis in Houston. The firm moved in last week.
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