Inland Mortgage Capital filed suit earlier this week to foreclose on a luxury hotel-condominium project near Madison Square Park. The suit, filed in New York State Supreme Court, alleges the developers defaulted on $27.2 million, which includes $22.75 million in loans, plus interest and penalties. The developer, 241 Fifth Avenue Hotel, led by investors Dan Shavolian and Jack Hazan, originally bought the building in 2007 for $26.5 million from Avraham Sibony, who had acquired the building, at 241 Fifth Avenue, between 27th and 28th streets, for $10.8 million in 2005. Sibony had originally planned to build a 19-story luxury condo with 76 rooms, but flipped the building to Shavolian’s group after obtaining approvals from the city’s Landmarks Preservation Commission. [more]