Harlem foreclosure spells opportunity for Gorjians

Young real estate entrepreneurs plan to turn project rental

New York /
Nov.November 08, 2012 09:00 AM

The young developers Justin and Cobby Gorjian are foreclosing on a boutique Harlem condo. Having acquired the note on the property last year, the brothers — sons of Gorjian Properties founder Gideon Gorjian, a developer of 75 Wall Street — plan on taking title to the property, at 220 St. Nicholas Ave., and turning it into a rental.

The Central Harlem condo is slated to hit the foreclosure auction block November 29 with an outstanding lien of more than $12 million, according to PropertyShark.com, but the brothers, working independently of Gorjian Properties as Gorjian Real Estate Group, don’t think there will be much interest from other investors. “We don’t think the property is worth as much as we’re owed,” Justin Gorjian, 27, told The Real Deal.

The 10-story luxury building has been in the works since 2009; developer Piper-Cadmium launched sales at the property in 2010, but pulled the units from the market later that year following a foreclosure suit brought by the project’s lender Valley National Bank.

Valley purchased the $7.9 million note on the building from the development’s original lender, the Park Avenue Bank, in March 2010. The Gorjians purchased the loan from Valley in November 2011. It was not immediately clear how much they paid for the debt.

The 11-unit building was originally slated to have half- and full-floor residences, all with private outdoor space, floor-to-ceiling windows and private entries via keyed elevators, according to Streeteasy.com.

Kyle Rawlins, founder and principal of Piper-Cadmium, declined to comment on how the project had been derailed.

The Gorjians declined to comment specifically on their plans for the units but said the process of completing the building will take several months after they take title.

The project represents the Gorjians’ first fully independent foray into the real estate game. Their company is focused primarily on acquiring debt, they said. “We’re young and we’re very eager,” Cobby Gorjian said, noting that the pair is already on the hunt for its next project.


Related Articles

arrow_forward_ios
Healing From Heaven Temple COGIC and Childs Memorial Temple COGIC (Google Maps)
Meet the developer from the Harlem church scandal
Meet the developer from the Harlem church scandal
City Council member Kristin Jordan and developer Bruce Teitelbaum with West 145th Street and Lenox Avenue (Illustration by The Real Deal with Getty)
Developer to Harlem pol who blocked project: “Truck you!”
Developer to Harlem pol who blocked project: “Truck you!”
A photo illustration of the Broadway Spanish Baptist Church (Google Maps, Getty Images)
Harlem church seeks state approval for redevelopment plans
Harlem church seeks state approval for redevelopment plans
E&M Management founder Irving Langer (E&M, Legal Services NYC, iStock)
Burned-out tenants put heat on E&M’s Irving Langer
Burned-out tenants put heat on E&M’s Irving Langer
From left: Mayor Eric Adams, Councilmember Kristin Richardson Jordan, and developer Bruce Teitelbaum (Getty Images, iStock/Photo Illustration by Steven Dilakian for The Real Deal)
Housing suffers crushing defeat as mayor, speaker do nothing
Housing suffers crushing defeat as mayor, speaker do nothing
From left: Bruce Teitelbaum and Kristin Richardson Jordan along with a rendering of One45 (Getty Images, One45, iStock)
Harlem affordable resi project withdrawn, appears dead
Harlem affordable resi project withdrawn, appears dead
Neil Patrick Harris and David Burtka in front of 2036 Fifth Avenue (Getty Images, Google Maps)
Neil Patrick Harris sells Harlem brownstone in neighborhood record
Neil Patrick Harris sells Harlem brownstone in neighborhood record
From left: Council member Kristin Richardson Jordan, developer Bruce Teitelbaum and a rendering of the planned One45 development (Getty Images, One45, iStock)
Council member calls 40% affordable project “slap in the face”
Council member calls 40% affordable project “slap in the face”
arrow_forward_ios

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

Loading...