The Real Deal New York

Maverick suing to foreclose on Hudson Square PH

The PE fund manager provided a mortgage to developer earlier this year
By Miriam Hall | August 02, 2017 07:15PM

Penthouse A at 497 Greenwich Street

Maverick Real Estate Partners is suing the developer of a luxury condominium in Hudson Square, in an attempt to force a foreclosure sale of a portfolio including an unsold penthouse in the building.

In a lawsuit filed Wednesday in New York State Supreme Court, the private equity fund manager argued it issued a $10.1 million mortgage in February that was personally guaranteed by Jonathon Carroll, the developer of the building at 497 Greenwich Street.

The loan was secured by three separate properties, including penthouse A in the Hudson Square building, Carroll’s home at 556 3rd Street in Brooklyn’s Park Slope neighborhood, and a property in Suffolk County.

The full sum of $10.1 million was due to be paid back by May 17, but Carroll defaulted, the suit alleges. Maverick is asking that the properties be foreclosed and sold.

Known as the Greenwich Street Project, the 25-unit condo at 497 Greenwich Street was designed by Dutch architect Winka Dubbeldam and completed in 2004. Penthouse A hit the market in 2013, asking $14 million.

Carroll, who co-owns an art gallery in London, was going to live in the penthouse but decided to put it up for sale, the New York Daily News reported in 2013.

It was last on the market in 2014, according to StreetEasy, with a price tag of $13 million. The Real Deal recently looked at the challenges developers are facing to move units in a soft market.