HIGH POINT — A proposal to sell Merchandise Mart Properties Inc.'s High Point holdings for $139.5 million appears to be the second step in a big showroom deal here, according to court filings.
A hearing to approve the proposal was set for Monday in Guilford County Superior Court, but as of this morning no papers were available to confirm the outcome of the hearing.

According to a sale proposal dated Jan. 24, MMPI's 2 million-square-foot High Point holdings would be sold to an entity called High Point Acquisition Co. for $139.5 million. The filing did not identify who was behind that company or who was providing the financing.

The MMPI High Point properties, including Market Square, the National Furniture Mart, Hamilton Market and several other buildings, have been in receivership since late last year. Earlier, MMPI's publicly held owner, Vornado Realty Trust, had said in a Securities and Exchange Commission filing that it had stopped making payments on a loan on the complex.

The Jan. 24 proposal indicated that a loan of $192.6 million was owed on the MMPI High Point properties.

According to the sale proposal, the principal on the loan would be reduced to $111.6 million, and the buyer would assume the loan. The buyer also would pay the noteholder $27.9 million in cash, adding up to the $139.5 million purchase price. According to the court filing, that price exceeded the appraised value of the properties.

On Tuesday, Bassett Furniture Inds. said in an SEC filing that it and other owners of High Point's International Home Furnishings Center had reached an agreement to sell the IHFC for $275 million, including the assumption of debt. Bassett, which owns a 40% stake in the IHFC, said it would receive about $73 million to $75 million when the sale closes. Closing was expected on or before April 29, the filing said.

While that filing identified the purchaser only as "IHFC Acquisition Company," a portion of the agreement indicated that investment firms The Related Cos. and Bain Capital had signed a confidentiality agreement regarding the deal, indicating that they were participants.

The World Market Center in Las Vegas has been rumored to be a participant, although it wasn't identified as a purchaser. However, as part of the sale agreement, Bassett would agree to lease space in the WMC, home of the Las Vegas Market. Related Cos. is a key financial backer of the WMC.

The third largest High Point showroom building owner, Showplace Properties, also is in receivership.

Industry speculation has been that the WMC owners would acquire the three large High Point properties, uniting much of the industry's market showroom capacity under a single owner and manager.