Courts roundup: Vornado files to eject Ashkenazy, MTA seeks to block $9.5M Westfield arbitration, more
Vornado sues to evict Ashkenazy: UPDATED WITH STIPULATION: Vornado Realty Trust, as landlord of 150 East 58th Street, filed a suit Friday seeking to evict Ashkenazy Acquisition from its leased space on the 39th floor of the building. Vornado alleges that Ashkenazy owes $644,941 in back rent and that Vornado issued a default notice in November and a notice claiming the lease was terminated on February 25, 2021.
A source close to Ashkenazy Acquisition, citing a stipulation agreement filed with the court, said the lease issue had been resolved. The alleged back rent was satisfied with a tenant improvement credit. Ashkenazy is moving its back offices to a suburban building it owns and its executive offices will be in an Ashkenazy property on Madison Avenue.
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These filings represent the positions of the plaintiffs and are not necessarily accurate or complete.
MTA sues to block Westfield’s $9.5M arbitration: The Metropolitan Transportation Authority filed a suit Friday seeking to halt the arbitration of a $9.5 million claim made by Westfield on February 16, 2021. Westfield claimed the MTA owes it $9.5 million for alleged additional expenses Westfield incurred as the master tenant at the Fulton Center at 200 Broadway. The MTA suit does not address the merits of the Westfield arbitration claim. Instead it claims Westfield has no grounds under the 2014 lease provisions to submit the alleged costs, consolidated as a “breach of lease, unjust enrichment, or breach of the covenant of good faith and fair dealing,” to arbitration. LINK
Genting claims Covid losses are covered under $500M policy: The Genting complaint alleges that, “Interruption by Gaming Commission coverage in the policy is subject to the policy’s full $500,000,000 limit of liability.” The policy in question covers the Resorts World Casino New York City, in Queens, and a casino in Miami. LINK
The suit further asserts that, “The policy contains a Special Perils endorsement that provides … this policy is extended to cover loss resulting from interruption of or interference with the business carried on by the insured in consequence of: (a) Infectious or contagious disease manifested by any person while on the premises of the Insured.’ COVID-19 is an infectious disease that manifested in persons on Genting’s premises.”
LIC bankruptcy: The entity 413-421 20th Street LLC in Long Island City was placed into bankruptcy protection. The filer was TKS Group LLC by Thomas McCloskey, signatory. The assets were listed as $10.6 million and the liabilities as $6.4 million.
$3.49M Brooklyn mezzanine foreclosure: According to a filing from iCross, “This is an action seeking to enforce a mezzanine loan and to foreclose on certain membership units in Hello Albemarle LLC which were pledged as security for the [$2.5 million] loan. According to the filing, Eli Karp in May 29, 2019, borrowed $2.5 million secured by 2417 Albemarle Road, Brooklyn, and the lender declared the note in default in 2019. The interest, late fees etc. bring the total allegedly owed to $3.49 million as of the date of the filing. LINK