Gramercy co-ops worth $25 million targeted in international lawsuit

New York /
May.May 12, 2010 04:20 PM

Two luxury cooperatives in the Gramercy Park neighborhood worth a combined $25 million are tied up in a legal action brought by a bank in Iceland that claims a former shareholder and former company executives looted it for more than $2 billion. 

Glitnir Bank, based in Reykjavik, Iceland, accused the investor Jon Asgeir Johannesson and former bank executives of raiding the bank in 2007 and 2008 to prop up their own failing companies, in a lawsuit filed in New York State Supreme Court yesterday.

The bank won an order from a court in London freezing Johannesson’s assets, including co-ops in the neighboring apartment buildings Gramercy Park Hotel at 50 Gramercy Park North and 2 Lexington Avenue, according to information from PropertyShark.com.

Johannesson and his wife Ingibjorg Palmadottir paid $14.2 million for a penthouse in the Gramercy Park Hotel in April 2007 and $10.3 million for unit 16A at 2 Lexington Avenue in December 2006, PropertyShark.com data shows.

Broker and founder of ID Model Management, Paolo Zampolli, sued the couple in February over their allegedly cheap rehabilitation of his $26,000-per-month apartment at the Gramercy Park Hotel.

The new case was filed in New York because the bank raised money through the sale of bank notes to investors in New York and elsewhere, the complaint says. TRD


Related Articles

arrow_forward_ios
Hana Financial Investment’s Lee Jin-Kook and a rendering of 1 St. Marks Place (Hana Financial Investments)

Hana Financial to sell loans tied to Manhattan office, hotel properties

Hana Financial to sell loans tied to Manhattan office, hotel properties
Extell Development's Gary Barnett and 32 West 48th Street (Google Maps)

Extell makes its Diamond District hotel official

Extell makes its Diamond District hotel official
(iStock)

Ski resorts gear up for tough season in the shadow of pandemic

Ski resorts gear up for tough season in the shadow of pandemic
Union Square and Mayor Bill de Blasio (Getty)

City drops bid to require special permits for Union Square hotels

City drops bid to require special permits for Union Square hotels
Domio’s interim CEO Jim Mrha (Photos via Domio; iStock)

Domio not shutting down, plans “financial re-engineering”

Domio not shutting down, plans “financial re-engineering”
Domio's CEO Jay Roberts and Chief Strategy Officer Adrian Lam (Photos via Domio)

Short-term rental operator Domio shuts down

Short-term rental operator Domio shuts down
Hilton Times Square at 234 West 42nd Street and Roosevelt Hotel at 45 East 45th Street (Google Maps; Pixabay)

New York hotel owners on the hook for $500M severance

New York hotel owners on the hook for $500M severance
454 East 148th Street and 5252 Kings Highway (Google Maps; Compass)

Bulk co-op buy in the Bronx tops mid-market investment sales

Bulk co-op buy in the Bronx tops mid-market investment sales
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...