Realtors fight over $1.3M commission tied to Little Havana pharmacy sale

Suit surrounds sale of CVS pharmacy at 1177 Southwest Eighth Street in Little Havana

TRD MIAMI /
Oct.October 31, 2016 03:00 PM

A squabble between two commercial brokers provides a rare glimpse into the lucrative commission fees derived from the sale of net lease properties.

Brickell Avenue-based Bustamante Investment Group sued Surfside-based Municoy International Realty and its owner Elizabeth Municoy, also known as Elizabeth Ortiz Municoy, on Oct. 4, seeking to nullify a referral agreement tied to the listing of a CVS pharmacy at 1177 Southwest Eighth Street in Little Havana.

On July 19, a company called Mother Queen Inc. sold the CVS, which sits on a 2.2 acre site with a surface parking lot, to 976 Miami RE LLC for $13.1 million, of which 10 percent was paid by the seller to Bustamante as a commission.

According to the lawsuit, Mother Queen was originally represented by Municoy, which brought in Bustamante to handle the listing. Now, Bustamante wants a Miami-Dade Circuit judge to rule against Municoy’s demands for 7 percent of the $1.3 million commission allegedly per the brokerages’ referral agreement.

The attorney for Bustamante, Michael Schlesinger declined comment.

Javier Rodriguez, Municoy’s attorney, said Bustamante filed a meritless lawsuit to avoid paying the referral fee to Municoy, which represented Mother Queen when it purchased the CVS in 2012 for $12 million.

“Bustamante is now grasping at straws,” Rodriguez said. “We view this as a pretext to not paying the referral fee. I had sent them a demand letter in August, three months before [Bustamante] filed the lawsuit.”

According to the suit, Elizabeth Municoy met with the plaintiff’s owner, Ernesto Bustamante, in March 2016 to enlist his firm on behalf of Mother Queen. “[Municoy] did not want the CVS property listed for sale or appearing on the MLS and wanted to keep the sale confidential,” the lawsuit states. “Bustamante and MIR entered into three different referral agreements based on the fact that MIR kept changing the terms of the agreement.”

In addition to allegedly repeatedly changing the referral agreement, the lawsuit alleges that Elizabeth Municoy cannot receive the commission because Florida law prohibits payments to unlicensed real estate brokers. A check of Florida’s Department of Business and Professional Regulation online database confirmed Municoy is not licensed in real estate sales, but her business partner, Thomas Baker, is licensed.

“The referral agreement was with the realty company, not Elizabeth individually,” Rodriguez said. “Mr. Bustamante’s allegations are not only denied, they are irrelevant as she was not the selling broker.”


Related Articles

arrow_forward_ios
Seritage Growth Properties stopped construction at Esplanade at Aventura because of the pandemic, and now Mexican restaurant Carolo wants to break its lease.

Esplanade at Aventura work stoppage leads to lawsuit by Mexican restaurant

Esplanade at Aventura work stoppage leads to lawsuit by Mexican restaurant
Stephen Gravett, CEO of Kennedy Homes and a rendering of Trevi Isle home community

Kennedy Homes sells Palm Beach Gardens community amid allegations of mismanagement

Kennedy Homes sells Palm Beach Gardens community amid allegations of mismanagement
Biscayne Beach

Lawsuit accuses Biscayne Beach developer and construction firms of shoddy work

Lawsuit accuses Biscayne Beach developer and construction firms of shoddy work
Harvey Hernandez, Centro Condo

Harvey Hernandez sued over delinquent loan for downtown Miami condo project

Harvey Hernandez sued over delinquent loan for downtown Miami condo project
Masoud Shojaee

Masoud Shojaee and his daughters locked in dispute over rock mining rent money

Masoud Shojaee and his daughters locked in dispute over rock mining rent money
Avra Jain and Vagabond Hotel (Credit: Google Maps)

Miami-Dade judge tosses Avra Jain’s $15M lawsuit against former attorneys

Miami-Dade judge tosses Avra Jain’s $15M lawsuit against former attorneys
TooJay’s (Credit: Google Maps)

Popular Florida deli chain TooJay’s files for bankruptcy

Popular Florida deli chain TooJay’s files for bankruptcy
Atma Beauty in Miami and Lloyd's of London (Credit: Google Maps, Leon Neal/AFP via Getty Images)

Miami Beach salon sues Lloyd’s of London over coronavirus claim

Miami Beach salon sues Lloyd’s of London over coronavirus claim
arrow_forward_ios

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

Loading...