Deutsche Bank’s commercial real estate advisory group is dismantling,
according to industry insiders, after enduring significant losses
during the recession. While a spokesperson for Deutsche denied the
claims, anonymous sources connected to the bank contend that the
commercial arm will dissolve in the near future, with its managing
director, Warren Friend, possibly leaving the bank for good, according
to Bloomberg news. Even as it shuts down this arm of the company,
however, the bank will continue to originate commercial mortgages,
sources say. Deutsche is currently seeking out places for employees
affected by the consolidation, although it is not immediately clear how
many staffers work in that department currently. [Bloomberg]

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The Lucida at 151 East 85th Street, Gary Barnett

An Extell Development affiliate is suing a small residential brokerage firm for breach of contract for allegedly keeping nearly $200,000 in commissions at the Upper East Side condominium tower Lucida, even though the sales were never finalized, Meanwhile, in the Financial District, the international architectural firm Skidmore, Owings & Merrill claims its landlord, a partnership between real estate private equity firm Capstone Equities and investor the Carlyle Group, has stiffed it on more than $1 million in tenant improvement work at its Financial District office, a recent lawsuit says. Also in the Financial District, a stalled condo conversion project has created one more headache for the German lender Deutsche Bank that provided equity financing for the site at 45 John Street. [more]

Department of Buildings Commissioner Robert LiMandri today announced that two DOB supervisors have been disciplined in connection with the August 2007 fire at the Deutsche Bank building at 130 Liberty Street. Thomas Connors, executive director of construction site safety, and Christopher Santulli, acting assistant commissioner of emergency and safety operations, have been issued letters of reprimand for not making sure that inspectors were properly trained, according to a press release from DOB. DOB previously served Robert Iulo, former executive director of the Lower Manhattan Construction Command Center Task Force, with disciplinary charges. Iulo retired in February with the charges pending. Two New York City firefighters, Robert Beddia and Joseph Graffagnino, died in the fire. TRD [more]