Yair Levy family’s Tin Pan Alley buildings hit with $21.3M pre-foreclosure

Wells Fargo as trustee filed a pre-foreclosure action in U.S. District Court in Manhattan seeking to foreclose or a loan with an original principal of $21.3 million. The guarantors at the time of the loan according to the complaint were Yair Levy’s daughters Galit Levy and Rafaela Levy. LINK The loan was originated in 2018.

Yair Levy was a dominant developer during the real estate boom in New York City that lasted until late 2008.

The properties are 45 West 28th Street, 47 West 28th Street, 49 West 28th Street, 51 West 28th Street, 53 West 28th Street and 55 West 28th Street, located between Broadway and Sixth Avenue in NoMad, Manhattan. The securitized loan package is Commercial Mortgage Pass-Through Certificates, Series 2018-C11.

Complaint pdf LINK
According to the complaint, “Borrowers defaulted under the Loan Documents by failing to pay the debt due and owing under the Note as provided for therein. Thereafter, Plaintiff, Borrowers and Guarantors executed that certain Forbearance Agreement dated effective as of July 2, 2021… Borrowers failed to comply with the terms of the Forbearance Agreement. By letter dated July 18, 2023, Plaintiff provided notice to Borrowers that Borrowers were in default…Borrowers failed to cure the defaults under the Forbearance Agreement and Loan Documents. As a result, a Termination Event occurred, and Plaintiff elected to accelerate the debt due and owing under the Note.”
Court filings represent the position of one party, and are not necessarily accurate or complete.
The total currently due according to the complaint is $19.3 million plus an additional $3.5 million in interest, default interest and other charges.

The Real Deal reported in 2013 that Yair Levy was rumored to be the buyer of these buildings, which were purchased in 2008 for a total of $44 million. Yair Levy was banned for life from selling cooperative or condominiums in New York State by the office of the Attorney General in 2011. In 2019, against the owners’ wishes, the city designated five of the properties, from 47 to 55 West 28th Street, as individual city Landmarks, citing the history of song writing on what was known as Tin Pan Alley.

Direct link to the property’s ACRIS page.