The Real Deal New York

Showdown in court for Macklowe, Park Avenue plastic surgeon

Developer looking to boot doctor’s practice from 737 Park Avenue

February 25, 2014 01:55PM
By David Jones

Harry Macklowe and 737 Park Avenue

Lawyers for Harry Macklowe are scheduled on March 11 to go up against a Manhattan-based plastic surgeon in what may be the final chapter of a legal dispute involving 737 Park Avenue, the billionaire legal developer’s controversial new condo conversion.

Macklowe’s lawyers are set to face off in court against Dr. Robert Jetter, who is facing eviction from 737 Park after he took Macklowe to court in 2012 for allegedly damaging his medical offices amid major renovations at the luxury residential tower.

Judge Saliann Scarupla had temporarily blocked Macklowe and co-developer CIM Group from evicting Jetter from the building’s commercial spaces, although Macklowe claims the doctor illegally sublet the space to Rachel Parker and an entity called Abbey Road Office base surgery, without prior approval, according to court documents. The default letter also claims Jetter has an illegal sign on his office door.

Macklowe declined to comment, through a spokesperson. Lawyers for Macklowe did not return calls.

But in a sworn affidavit, Jetter explained that Parker is his wife and an employee of his practice and does not have a sublease arrangement with him. He added that Abbey Road is a freestanding ambulatory surgery treatment center.

He also stated that the landlord new about the sign when he purchased the building in 2011, and never complained about it until now.

“In other words the landlord does not allege that Robert B. Jeter M.D., PLLC, is doing anything more than continuing a practice in which he has been engaging, with . . . the landlord’s knowledge and without objection, since he initially took possession of the premises.”

Lawyers for Jetter were not immediately available for comment.

Jetter initially filed suit in December 2012, complaining that the conversion of the 21-story building led to flooding and noise complaints at his practice. Macklowe and CIM originally bought the building, which had 103 apartments and six commerical speaces, for $360 million in 2011 — making it one of the most expensive residential conversions in New York since the financial markets crashed in 2008.

Just last week, Macklowe settled litigation with Arlene Katz, a tenant and member of the family that previously owned the building. Macklowe took Katz to court after she failed to allow contractors to enter her apartment for renovations, forcing extensive negotiations over relocating her to a hotel. Katz’s lawyer Sam Himmelstein, confirmed that a negotiated settlement had been reached, but declined to comment on the terms citing confidential nature of the agreement.

In January, Macklowe hired Corcoran Group to handle sales at the property. Deborah Kern and Hilary Landis are in charge of the property. As The Real Deal previously reported, more than $250 million in apartments have been sold at the building.

According to Streeteasy, the building has 14 active sales for $3,631 per square foot.

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