Soho’s No. 22 Renwick faces foreclosure

January 19, 2011 05:43PM

MB Financial Bank is moving forward with plans to foreclose on No. 22 Renwick, a new boutique condominium in Soho, according to a complaint filed in New York Supreme Court, Crain’s reported. The bank assumed the $19 million mortgage last year on the 12-story building at 22 Renwick Street, between Spring and Canal streets. According to the filing, the developers of the project, Orange Management and Helix Partners, owe MB Financial at least $21.7 million in loans, interest, late charges and other fees. The developers were sent a notice of default on the loan in May 2010. Construction on the troubled condo began four years ago, and the project has been plagued with lawsuits involving buyers who wanted to rescind their purchases, claiming that the developer failed to deliver on a promised closing date. At the time, the developers said that the sale of the commercial unit of the building fulfilled its closing requirement, and that individual buyers had no right to back out of their contracts, but ultimately the buyers won out. According to the court filing, all 19 units of the building are unsold and unoccupied. The lender declined to comment, and the developers could not immediately be reached for comment. [Crain’s]