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]