The Real Deal New York

Craig Nassi’s father sues son to collect $5.7M

August 09, 2013 02:55PM
By Adam Pincus

CraigNassiand315ParkAvenueSouth-300x223

Craig Nassi and 315 Park Avenue South

Real estate developer Craig Nassi’s father has gone to court to recover some $5.7 million in loans and interest payments that his son allegedly owes him for unspecified business ventures.

Craig’s father Bijan Nassi, also a real estate entrepreneur, alleged that his son had failed to repay $3.35 million in loans made over several years, as well as the accrued interest of $2.3 million, the suit filed yesterday in New York State Supreme Court reveals.

The dispute highlights divisions that occur within real estate families. In another father-and-son divide, Billy Macklowe split off from his legendary father, developer Harry Macklowe, in 2010 to launch his own firm William Macklowe Company. In another example of a family split, the Elghanayans divided Rockrose Development into TF Cornerstone and Rockrose.

The elder Nassi advanced the money as part of a verbal agreement, with an interest rate of 6 percent, the court papers said.

“Despite [Bijan's] demands for repayment, [Craig] has not repaid the loan,” the suit says.

Bijan Nassi asked the court for the full $5.7 million, along with compensatory and incidental damages and interest.

Craig Nassi, who leads his BCN Development, and a company called Bijan Nassi Family LLC in a joint venture paid $265 million for the 330,000-square-foot office building at 315 Park Avenue South in June 2007, near the peak of the market. Craig owned 33.3 percent of the joint venture, and the LLC owned 66.7 percent, documents filed with the U.S. Securities and Exchange Commission show.

The building ran into financial trouble, and lender CWCapital Asset Management filed to foreclose on the mortgage in the summer of 2012. Landlord SL Green Realty later purchased the defaulted loan.

Then this past May, the Nassis sold the building for $234 million – a loss of $31 million — city property records show, although The Real Deal and others reported that the sale price was closer to $250 million.

Bijan Nassi owns and manages multifamily properties, and in June 2011 partnered with another son, Daniel, through a company called BDN NY Management, to pay $20 million for the rental building 220 Park Avenue South, which they plan to convert to condominiums, according to reports at the time.

Craig Nassi declined to comment, and Bijan and his attorney Patrick Papalia, a partner with the law firm Archer & Greiner, did not respond to a request for comment.

  • steve

    karma is a wonderful thing

  • Persian

    Really sad

  • Persian

    People like this that give Persians a bad name

  • Sister Nassi

    Craig deserves everything he gets. This is long overdue!!!!

  • Pedro Bosque

    I have done business with Mr. Craig Nassi and contrary to the way people speak of him I do not know him to act in this fashion. In fact, he has paid me more than the amount due just so I was happy. This sounds to me like him and his dad took a loss on their building so the only way for his dad to recoup his losses based on a verbal agreement is to file claim in court so he can now use this loss to off set his capital gains. These are brilliant men please do not believe stories written in magazines.

  • Nassiliar

    http://www.indianamemorialcremation.com/obits/obituary.php?id=314274
    Hey Craig Nassi – PEDRO BOSQUE WHOSE NAME YOU JUST POSTED IN IS DEAD. Craig Nassi you are a slimeball crook – STEALING FROM YOUR DAD??? can it go any lower? Slimeball.

  • Nassiliar

    Slime ball Craig Nassi stole from his father. That says it all.

  • Steve Gomez

    Typical Insecure money worshipers.

  • Laurrin

    I am a personnel family friend and I know both of these men . i can say this Bijan is the most honorable man I have ever met. His son not so much, he should be ashamed of himself for putting his father through this .. Really awful and sad that your own son who you have done SO much for would do such a thing… Shame on you Craig !!!

  • Keyser Soze

    Persians give Persians a bad name.

  • Steven

    I worked with Craig on several projects and I can assure that this is typical of this guy. He is the most unethical person I have ever known in this industry. He had to leave Denver because of his business practices and I see that he has not changed.

  • Fd

    Trfv TV

  • Sriramulu Krishnamurthy

    Thanksgiving at the Nassi house this year should be interesting!

  • someone whose close

    seems more like your time has come and gone cause your dad’s still in the game and going strong. still owns/operstes everything he bought
    What’re those bald faced lies? hmmm and whose telling them.

    • someone whose close

      for those of you who want to know the court has the documents so it’s public record for anyone to read and make up their own mind.

  • Kate

    What kind of man says: “…his time has gone and mine has come” about his FATHER? Craig would be nothing without his father and his father’s money; his father who is a wonderful man and supported all his ventures? Craig repaid his father’s kindness by stealing from him.

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