The Real Deal New York

Tory Burch countersues Mercer Street neighbor over construction tiff

Fashion designer and retailer claims lawsuit has delayed flagship store at 151 Mercer

May 20, 2016 11:30AM
By Rey Mashayekhi

From left: 151 Mercer Street and Tony Burch

From left: 151 Mercer Street in Soho and Tory Burch

Tory Burch is striking back against the Soho landlord who claims construction on the fashion designer and retailer’s Mercer Street flagship store has caused damage to his property.

Tory Burch LLC is countersuing landlord Herbert Moskowitz, who filed a complaint against the designer last year claiming that work on Burch’s four-story flagship at 151 Mercer Street had caused extensive damage to his own neighboring property at 153 Mercer Street.

But now Tory Burch has brought suit against Moskowitz, according to documents filed Thursday in New York State Supreme Court, claiming that her neighbor’s “frivolous litigation” has delayed work at 151 Mercer Street by causing the city’s Department of Builidings to put a “litigation hold” on the project.

Moskowitz’s suit against Tory Bruch also listed contractor Skanska USA and the DOB as defendants and sought more than $500,000 in damages, as well as a halt to the store’s construction until damage to Moskowtiz’s property was rectified.

Tory Burch says Moskowitz has interfered with work at 151 Mercer Street — which was originally slated for completion in July 2015 — by allegedly threatening to “forcibly remove” monitoring equipment at the site.

Tory Burch’s complaint adds that Moskowitz’s opposition to the project and the monitoring measures will further postpone the project and cause the retailer “significant damages… including the millions of dollars it has and will continue to lose, stemming from lost profits, construction costs and rent obligations under its lease.”

Representatives for Tory Burch did not return requests for comment. Representatives for Moskowitz could not immediately be reached.