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Zamir in deal to halt default claim at 587 Fifth

Remains in fight with investment partner over leasehold

587 Fifth Avenue
587 Fifth Avenue

Zamir Equities principal Asher Zamir reached agreement to retain the ground lease for 587 Fifth Avenue after landlord Sol Goldman Investments attempted once again to oust him from the coveted 10-story building, according to court records.

Zamir, operating through an entity called Baruch, was scheduled for a Sept. 8 hearing in Manhattan Supreme Court after lawyers got an injunction to block the landlord from terminating the lease agreement, according to court records. Zamir was served with two default notices on Aug. 4, one claiming that he failed to correct a Department of Buildings violation regarding a technical notice and a second notice claiming three violations from the Fire Department of New York.

Lawyers for Zamir presented evidence that the alleged violations, which dated back a couple of years, had been cured.

“In spite of defendant’s contentions to the contrary, plaintiff has not defaulted under the lease as asserted by defendant, and if any of the alleged default is demonstrated to exist, same is not material to the lease as to justify termination of the same,” said Zamir in a sworn affidavit.

The dustup comes amid a lengthy legal battle between Zamir and his investment partner Elyass [Elliott] Eshaghian over several financial issues at the office building, and a failed attempt to sell the leasehold. Eshaghian owns about one-third of the leasehold interest at the building.

In a suit filed last year, Crown Acquisitions and investor Steven Feldman, of One North Realty, allege Zamir backed out of a deal to buy the ground lease for $27 million.

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As The Real Deal previously reported, Eshaghian filed suit on Feb. 14 against Zamir in an effort to block him from refinancing a loan at the building, claiming the move would increase the debt at the building by $10 million. That suit was discontinued in June.

Eshaghian still has a 2012 lawsuit against Zamir claiming that he has the right to buy Zamir’s majority interest in the leasehold through a buy-sell covenant in the operating agreement, according to court records.

Just days before, Zamir filed suit against Eshaghian claiming he failed to disclose several secret transactions and may have transferred assets linked to the building to his family members. Zamir in July filed court documents to unseal records related to the Eshaghian’s divorce from his ex-wife Roset.

Lawyers for Roset oppose the move, claiming Zamir is making speculative claims and that the marriage records are confidential, according to court papers.

“I think the court will deal with that in due course,” said attorney Stuart Riback, who represents Eshaghian.

Zamir was not immediately available for comment.

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