The year 2009 was a trying time to be a real estate broker, developer or investor, but it never lacked for news. In the aftermath of the financial crisis, the industry watched in awe — and sometimes horror — as residential sales ground to a virtual halt, condo projects stopped in their tracks, office rents shrank and retail stores disappeared. Buyers at buildings like 22 Renwick sued to get out of their contracts, and some were granted the opportunity to back out of their contracts. Meanwhile, an amazing cast of characters — from Kent Swig to Harry Macklowe to Lev Leviev — publicly fought for survival. There were also glimmers of hope, from the opening of the High Line in June to the expansion of Halstead Property into Connecticut to the sale of Former Lehman Brothers CEO Dick Fuld’s sale 16-room co-op apartment at 640 Park Avenue for $25.87 million, almost $5 million more than he bought it for two years ago. Click here to see The Real Deal staff’s picks for the stories that most altered the New York City real estate landscape in 2009. [more]

The developer of 22 Renwick is refuting buyers’ claims that the first closing in the building was a sham. “We’re not doing anything tricky here,” said Andrew Bradfield, a principal at Orange Management and the developer of Renwick along with Helix Partners. Buyers in the building have filed applications with the attorney general to get their money back, saying they’re entitled to a right of rescission because of delays at the site. Bradfield says their applications have no legal merit and some buyers are merely looking for steep discounts from the originally agreed-upon sales prices. “They’re treating it like they can close at that price [only] if they feel like it,” he said. “That is not the idea of a contract.” [more]

In the type of dispute likely to become more common in the rocky
economy, buyers at West Soho condominium 22 Renwick are demanding their
money back amid claims that the first closing at the building may be
a sham. At least six purchasers at the 19-unit condo have
filed claims with the attorney general’s office requesting their
deposits back from the developer, Manhattan-based Orange Management. Buyers,
who requested anonymity because they are still in negotiations with the
developer, say construction delays at the site have triggered their
right of rescission, and the first closing — which would, if legitimate, require buyers to close on their units — doesn’t count because it is
a commercial space, according to claims filed with the AG’s office (a cheaper but legally binding alternative to filing a
lawsuit). They also say the commercial buyer may not be a bona fide
purchaser, but be part of an attempt by the sponsor to avoid giving
them their money back. The AG, whose office did not
return phone calls for comment, will determine the legality of the
first closing. [more]