$7.5M bankruptcy filed in Sunset Park

Developer Bao Zhi Liu filed a chapter 11 bankruptcy petition in U.S. Bankruptcy Court in Brooklyn, three years after a pre-foreclosure action was filed against the property in state court. That suit remains active.

The assets are a 5,724-square-foot mixed-use building with seven residential units and commercial space at 772 59th Street in Sunset Park and 10 condominium units at 720 57th Street in Sunset Park, Brooklyn.

The bankruptcy petition contains several errors in the field “location of principal assets,” where it provides the addresses as 720 East 57th Street 772 East 57th Stree (sic)” but in fact the addresses are 720 57th Street and 772 59th Street.

The properties are subject to a 2019 foreclosure action, titled Fairview Investment Fund V, LP v. 772 & 720 HOLDING LLC et al.

According to a document in the pre-foreclosure action, a broker contracted by the lender did a walk-through of the properties in August 2022 and stated several units in each building were likely being rented through Airbnb-type listings.

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