The Real Deal New York

Upstate development by Genting already faces suit

March 08, 2012 03:30PM

[Updated at 6:45 p.m. with comment from a spokesperson for Cappelli] A massive development in upstate New York — a $600 million Catskills mixed-use resort — is already facing a lawsuit, the New York Times reported.

The companies developing the entertainment, housing and gambling project in Sullivan County, N. Y. — Entertainment Properties Trust, which owns 1,530 acres there, and Kien Huat, whose owner, KT Lim, is chairman of Genting Berhad, which developed the racino — are named in a lawsuit filed in Manhattan Supreme Court yesterday, the Times said.

The suit was filed by Concord Associates, of which the managing partner is Louis Cappelli, a developer in Westchester County who is developing another, similar resort-like project adjacent to Genting’s site, a spokesperson for Cappelli indicated. The suit alleges that EPT and Genting engaged in anti-competitive practices.

The plans for the EPT and Genting developed project are expected to be unveiled tomorrow, and for the residents of Sullivan County, where unemployment is high, it is not one minute too soon.

“We’re excited to finally get something here,” said Anthony Cellini, supervisor in the town of Thompson, in Sullivan County. “They’ve got the property. They’ve got the money. They’ve got top-notch professionals working with them.” [NYT]