Embattled NJ developer files for bankruptcy

National Realty Investment Advisors has projects from Brooklyn to Florida; authorities circling

Tri-State /
Jun.June 13, 2022 05:45 PM
Rey Grabato along with several NRIA projects (LinkedIn/Rey Grabato, NRIA, iStock)

Rey Grabato along with several NRIA projects (LinkedIn/Rey Grabato, NRIA, iStock/Photo Illustration by Steven Dilakian for The Real Deal)

National Realty Investment Advisors, a troubled developer with projects in Brooklyn, Florida, New Jersey and Philadelphia, has filed for bankruptcy.

The New Jersey-based firm filed for Chapter 11 protection in federal court last week in Newark, filings show. It listed assets worth between $50 million and $100 million, along with liabilities of $500 million to $1 billion.

The move comes as National Realty Investment Advisors is reportedly under investigation by the Federal Bureau of Investigation and the Securities and Exchange Commission, as well as financial regulators in New Jersey, Alabama and Illinois.

The independent manager overseeing the case on behalf of the company, Brian Casey of real estate financial advisory firm The Casey Group, could not be immediately reached for comment.

Founded in 2006, the bankrupt builder focuses on condo, townhome and multifamily development and investment and had $1.25 billion in assets under management as of the second quarter of 2020, according to its LinkedIn page.

The private company’s website lists more than a dozen projects in Brooklyn in neighborhoods including Cobble Hill, Park Slope and Crown Heights, along with numerous developments beyond New York in various stages of completion.

In March of last year, the FBI reportedly arrested portfolio manager Nick Salzano after an hours-long standoff outside his New Jersey home. He was charged with faking a $25 million loan guarantee while trying to defraud a California woman out of $150,000, according to the publication Regulatory Compliance Watch.

The company came under further scrutiny in September when the Philadelphia Inquirer reported that authorities were investigating it.

Company CEO Rey Grabato reportedly stepped down six weeks ago.





    Related Articles

    arrow_forward_ios
    Accurate CEO Jack Klugmann and the Fairfield, CT Metro North train station (Accurate, Robert Mortell/via Wikimedia Commons, iStock)
    NJ developer buys languishing project in Fairfield
    NJ developer buys languishing project in Fairfield
    From left: Marjorie Velázquez, Vanessa Gibson, and Dan Garodnick with Bruckner Boulevard
    Bronx BP defies Nimbys on controversial Throggs Neck project
    Bronx BP defies Nimbys on controversial Throggs Neck project
    44th U.S. President Barack Obama (Getty Images, iStock/Photo Illustration by Steven Dilakian for The Real Deal)
    Barack Obama blasts liberal NIMBYs
    Barack Obama blasts liberal NIMBYs
    Extell Development's Gary Barnett and 171-179 East 86th Street (Extell Development, iStock)
    Checkmate for Papaya King: Extell files demo plans on UES
    Checkmate for Papaya King: Extell files demo plans on UES
    Marble Collegiate Church, HFZ's Ziel Feldman and Vanbarton’s Gary Tischler (Getty, iStock)
    Church seeks to escape hellish partnership with HFZ
    Church seeks to escape hellish partnership with HFZ
    A photo illustration of the Gowanus neighborhood (iStock)
    Judge OK’s Gowanus rezoning, calling opponents late and off base
    Judge OK’s Gowanus rezoning, calling opponents late and off base
    Skylight Real Estate's Bennat Berger with 300 Grand Street (Skylight Real Estate, Street Easy, iStock)
    Scarcity play: Hoboken apartments fetch $56M
    Scarcity play: Hoboken apartments fetch $56M
    Marcus & Millichap Associate David Ferber in front of part of the 30-building, 319-unit portfolio concentrated in Jersey City (Marcus and Millichap, iStock)
    Hot rental market boosts NJ multifamily despite rate hikes
    Hot rental market boosts NJ multifamily despite rate hikes
    arrow_forward_ios

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

    Loading...