$39M FiDi foreclosure auction set for this month

The referee for a $39 million foreclosure case related to a loan secured by 140 and 142 Fulton Street in the Financial District, set the auction date as January 24, 2024, at 60 Centre Street, according to court records filed yesterday. The property is owned by Hidrock Properties. The referee, Joshua Stein, computed the total judgment to be $39.2 million.

Case 850142/2022 LINK

Lender Bank Hapoalim alleged in a pre-foreclosure complaint filed in July 2022, that Hidrock Properties did not repay a $32.8 million loan secured by the development parcels at 140 Fulton Street and 142 Fulton Street by the March 2022 due date, and so the the lender declared the loan in default.

Hidrock Properties bought the parcels in 2018 for a total of $41 million from Raymond Gindi.

However, valuations have broadly fallen since then, with numerous properties falling into foreclosure.

The block

On this tax block, PincusCo has identified the owners of two of the nine commercial properties representing 20,179 square feet of the 330,236 square feet. The two identified owners are Maverick Management and Niarchos Family. On the tax block, there was one new building construction project filed totaling 119,758 square feet. It is a 119,758 square-foot business (B) building submitted by Hidrock Properties and filed by Eddie Hidary with plans filed April 4, 2019 and it has not been permitted yet.

The surrounding

Within a 400-foot radius of 140 Fulton Street, PincusCo identified five commercial real estate items of interests occurred over the past 24 months. Of those five items, two were sales above $5 million totaling $525.5 million. The most recent of the two was Niarchos family which bought the 8,071-square-foot, one-unit mixed-use building (K2) on 144 Fulton Street for $38 million from Crown Acquisitions on October 25, 2023. Of those five items, three were loans above $5 million totaling $170.5 million. The most recent of the three was DSA Property Group in which borrowed $27 million from Greystone & Co. secured by the 58,354-square-foot, 68-unit rental (D5) on 9 Maiden Lane on August 31, 2023.

Direct link to the property’s ACRIS page and link to DOB NOW portal.