Durst Organization moves to foreclose on Eichner’s East Harlem site

Continuum failed to secure financing for a planned 680-unit rental project there

New York /
Feb.February 19, 2016 08:43 AM

Ian Bruce Eichner wasn’t able to secure financing for his 1800 Park Avenue rental project, and now the Durst Organization is looking to foreclose.

The Durst Organization, which previously brought Eichner’s debt from the Garrison Investment Group, expects to take control of the property later this month, the Wall Street Journal reported.

Eichner’s Continuum Co. bought the East Harlem site back in 2013 from Vornado Realty Trust, paying $66 million. The developer had planned to build a 680-unit rental building on the site, but was reported as having put it on the block last year.

“The notes are in maturity default and as lender, we intend to pursue our rights and remedies,” Jordan Barowitz, a spokesperson for the Durst Organization, told the Journal.

A spokesperson for Eichner declined to comment on the specific property, the Journal reported, but lamented the general state of the lending environment. “The capital markets are upside down and the timing is very unfortunate,” he told the paper.

Eichner famously lost several major properties to foreclosure in the late 1990s, including the CitySpire at 56th Street and Seventh Avenue and the Bertelsmann Building at 1540 Broadway

The Real Deal reported earlier this week that lender Gamma Real Estate is seeking to foreclose on the Bauhouse Group’s condo project 3 Sutton Place.  [WSJ]Ariel Stulberg


Related Articles

arrow_forward_ios
Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)
Free and clear: Vornado pays off debt at 220 CPS
Free and clear: Vornado pays off debt at 220 CPS
Vornado chairman and CEO Steven Roth, and 608 Fifth Avenue (Credit: Getty Images)
“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call
Steven Roth, CEO of Vornado and 640 Fifth Avenue (Credit: Getty Images and Vornado Realty Trust)
Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue
Vornado’s Steve Roth with Penn1, Penn 2 and the Farley Building (Getty, VNO)
Vornado’s Roth “disappointed” in lack of distress as market shows signs of recovery
Vornado’s Roth “disappointed” in lack of distress as market shows signs of recovery
Jamie Dimon, Steve Roth, Donald Trump and 555 California St. (Trump, Getty)
Vornado lines up $1.2B refi of SF tower co-owned with Trump
Vornado lines up $1.2B refi of SF tower co-owned with Trump
Vornado’s Steve Roth and 888 Seventh Ave (Getty, Google Maps, iStock)
Vornado sues Hongkun USA, seeking $1.1M in rent
Vornado sues Hongkun USA, seeking $1.1M in rent
From left to right: Gov. Andrew Cuomo, Tony Malkin, Larry Silverstein, Douglas Durst, Steven Roth and Bill Rudin. (Getty)
Vornado, Empire State Realty Trust pledge total carbon neutrality by 2035
Vornado, Empire State Realty Trust pledge total carbon neutrality by 2035
Vornado’s Steven Roth and One Park Avenue (Getty, Vornado)
Here’s what tenants are paying at One Park Ave
Here’s what tenants are paying at One Park Ave
arrow_forward_ios

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

Loading...