Courts roundup: 30 Cooper sues former Knotel CEO for guaranty; $6.3M Brooklyn bankruptcy, more

Courts roundup for Monday April 12, 2021: There was one New York City real estate bankruptcy with assets valued at $6.3 million, and one small commercial foreclosure.

3 Greenpoint rentals valued at $6.3M put in bankruptcy: Tal August through his BK4 LLC as the owner of three adjacent Greenpoint rentals, filed for chapter 11 bankruptcy protection citing real estate assets of $6.3 million and liabilities of $5.68 million. The properties are 2, 4, and 6 McGuinness Boulevard. Included as a liability is a $4.5 million first mortgage “plus interest and fees,” owned by SME Capital Ventures and money owed to brokerage firms and family members.

30 Cooper Sq. owners sue Knotel’s former CEO for $11M: The partnership that owns the office building 30 Cooper Square sued bankrupt Knotel’s former CEO Amol Sarva individually as the guarantor for a lease that the filing says runs through 2029. 30 Cooper Square alleges Sarva as guarantor under the lease owes the full value of the lease, or $11 million, because Knotel allegedly defaulted on a good-guy termination that required payments of $929.592.

According to the complaint, “Shortly before year-end 2020, Knotel entered into a Lease Termination and Surrender Agreement with Cooper Square (the “Termination Agreement”), pursuant to which Knotel agreed to pay Cooper Square $929,592.80 — in a series of installments with “TIME BEING STRICTLY OF THE ESSENCE” — as consideration for terminating the Lease.” However after three payments Knotel stopped and then at the end of January 2021 filed for bankruptcy. Other landlords have targeted Sarva for guarantees, including at 116 West Houston, as the Commercial Observer reported last month.  LINK to 30 Cooper suit

$310K Flatbush commercial foreclosure: JY Tangerous filed to foreclose on a commercial loan with an existing principal of $309,909 secured by 1239 Flatbush Avenue. JY Tangerous bought the loan from Spring Bank March 18, 2021. LINK