Silver Lake businesswoman loses to Katy Perry in court fight over convent

Los Feliz - Katy Perry's option to pay $14.5 million for a former convent that was the center of a legal battle has expired but the pop star and church officials are still open to a possible deal, according to officials.

"The formal legal option on the Waverly [Drive] property has expired," said a statement released by Adrian Marquez Alarcon, spokeswoman for the Archdiocese of Los Angeles.  "The property is still owned by the (California Institute of the Sisters of the Most Holy and Immaculate Heart of the Virgin Mary). That said, the archdiocese and Ms. Perry continue to be in communication concerning her continued interest in the property."

Perry and the archdiocese prevailed over Silver Lake businesswoman Dana Hollister in a bitter legal battle over the hilltop property. Hollister claimed ownership of the property after winning the support of two nuns who had opposed selling the former convent to Perry. Sisters Rita Callanan and Catherine Rose Holzman had maintained they had the authority to sell the property to Hollister, but a judge  later canceled the deal.

In 2017, a jury ordered Hollister to pay a total of $15 million  in compensatory and punitive damages for interfering in the sale between the archdiocese and the singer. However, the parties reached a settlement that reduced the damage amount to a total of $6.5 million.

The first payment, for $1 million, of damages was due by July 25, has been made, according to information revealed on Tuesday during a status conference held by Superior Court Judge Stephanie Bowick, who has overseen the case. The last payment by Dana Hollister is due by Jan. 25, 2021, according to a minute order prepared by the judge's clerk.

The original proposed sale to Perry was for $14.5 million, consisting of $10 million in cash and an agreement to provide an alternative property for a house of prayer worth $4.5 million, according to the archdiocese. In contrast, Hollister paid $44,000 and agreed to a contingent promissory note to pay $9.9 million in three years, archdiocese attorney Kirk Dillman said.

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