Litigation briefs: Deka sues Ashkenazy in Midtown, $11.5M suit in East Village

Lender DekaBank is suing to foreclose on a $53 million loan given in 2015 when Ashkenazy Acquisition and Deka bought the hotel at 525 Lexington Avenue in Midtown for $270 million. In 2019, Deka sued Ashkenazy for allegedly failing to buy out Deka, the Commercial Observer reported.
Link to court filing.

In an unrelated loan in the East Village:

The lender seeks to foreclose on an $11.5 million spreader loan, provided in June 2019. The properties are 219 Avenue A (Block 441, Lot 32), 158 First Avenue (Block 437, Lot 6), 324 East 14th Street
(Block 455, Lot 19), 75 Second Avenue (Block 460, Lot 39), The suit alleges that the borrowers “ceased making all payments” in November 2019, only five months after obtaining the loan.

In December 2019, the lender sent a default notice. The suit notes the borrower has made some payments. The loan matured in June 2020, according to the complaint, and it has not been paid off. The lender seeks a judgment of foreclosure and a sale of the properties.

Link to court filing.