Courts roundup: RFR sues Nuveen following $291M purchase, dispute over $1M hotel termination

RFR alleges $4.5M in facade work needed at building bought for $291M: RFR Holding alleges it will need to spend at least $4.5 million to repair water and facade damage at the 220,413-square-foot office building at 475 Fifth Avenue, in Midtown, which it purchased from from seller Nuveen in May 2022 for $291 million. The suit alleges Nuveen and its architect did not fully disclose the damage which, according to the complaint, they were then inspecting. The complaint alleges that because the purchase and sale contract only allowed RFR a limited investigation of the property, RFR relied on information from the seller, and RFR alleges that the information provided was incomplete or inaccurate about the state of water damage and façade integrity.
Court filings represent the position of one party and are not necessarily accurate or complete.
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Sheraton seeks remainder of $1M breakup fee at Garment District hotel: Fortuna Realty Group and Sheraton agreed in 2013 that Fortuna would build a new Aloft hotel at 25 West 38th Street in the Garment District in Manhattan. In 2016, the parties agreed to terminate the contract, but a dispute arose. Following a suit brought by Sheraton, the parties entered a $1 million settlement agreement. The hotel is now known as the Hotel Hendricks. This new suit alleges Fortuna has not paid the remaining $106,000 due on the agreement. “Notice is hereby given that the Fortuna Parties have defaulted under the Agreement. The Fortuna Parties have failed to timely pay an Installment in full as set forth in Paragraph 2 of the Agreement…” LINK

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