In Re Villa Diablo Associates

OPINION

JAMES R. GRUBE, Bankruptcy Judge.

I. INTRODUCTION.

This case involves a dispute between the debtor and its principal secured creditor over how present value should be calculated for purposes of “cramming down” a plan of reorganization under 11 U.S.C. § 1129(b). 1

II. PROCEDURAL BACKGROUND.

Villa Diablo filed its Chapter 11 petition on July 13, 1992. Its primary asset is a 48 unit apartment complex located in Concord, California. Citibank holds a note secured by a first deed of trust on the property. At the time of the filing it was owed $2,259,069. The debtor has been unsuccessfully trying…