The Real Deal New York

Durst sues Amazon for $25M over lease deal

Developer claims retail giant backed out of 1133 Sixth agreement at the last minute

January 12, 2015 02:40PM

amazon-durst

From left: 1133 Sixth Avenue in Midtown, Jeff Bezos and Douglas Durst

The Durst Organization filed a $25 million lawsuit against Amazon over a failed lease deal for 310,000 square feet at 1133 Sixth Avenue.

The developer alleges Amazon already agreed to an 11-year lease at the building when it signed for space at Vornado Realty Trust’s 7 West 34th Street. The lawsuit filed in New York State Supreme Court claims that Amazon’s alleged lie cost Durst about $20 million in possible revenue.

Amazon signed a letter of intent to occupy the Sixth Avenue space in July and allowed Durst to move forward with $1.3 million in construction funding to renovate it.

“In our business reputation is everything and when we make a commitment it means something,” a Durst spokesperson told the New York Daily News. “It’s disappointing that Amazon doesn’t understand this. Perhaps they will learn.”

Amazon did not comment to the Daily News. In November, the retail giant inked a 17-year lease for 470,000 square feet at the Vornado building. [NYDN]Mark Maurer

  • real estate insider

    An LOI really… Please…

    • Another LL

      LOI, LOL…. Nothing is binding until the lease is signed

  • no-permits

    “It’s disappointing that Amazon doesn’t understand this. Perhaps they will learn.”

    haha

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