Every weekday, The Real Deal rounds up New York’s biggest real estate news. We update this page throughout the day, starting at 9 a.m. Please send any tips or deals to tips@therealdeal.com.
Updated as of 2:35 p.m.
Executives at The Wing are shocked that one of the company’s directors is named in a pregnancy discrimination lawsuit. Jennifer Berrent, WeWork’s chief legal officer and a director of The Wing, is named as a defendant in a complaint against WeWork. Adam Neumann’s former chief of staff alleges that Berrent called her pregnancy “a problem” that needed “to be fixed.” [Bloomberg]
Harry Macklowe (Credit: Getty Images)
Harry Macklowe wants permits for construction work at his Hamptons home. But much of the work has already been done illegally. The East Hampton Village Zoning Board of Appeals rejected the developer’s request, with one trustee dubbing work already done at Macklowe’s property an “egregious violation.” [East Hampton Star]
From left: WeWork’s Adam Neumann and SoftBank’s Masayoshi Son (Photo-Illustration by Nazario Graziano)
Since WeWork’s disastrous attempt to go public, all eyes are on SoftBank’s other investments. Many are now questioning CEO Masayoshi Son’s strategy of dumping massive amounts of cash on unprofitable firms, including Compass and Katerra. [TRD]
Residents say a bedbug-infested building in the Bronx is just the tip of the iceberg. Several other properties run by Five Star Management are allegedly overrun by pests, mold and unsafe conditions. Last month, Gov. Andrew Cuomo launched an investigation into a Bronx building managed by Five Star, following reports of bedbugs and drug-related crime on the premises. On Sunday, after complaints were reported by tenants in four other buildings, the governor expanded the probe to include all of Five Star’s properties, as well as state contracts and funding with social services provider, Acacia Network and Five Star. [NYDN]
A flexible office space company has tapped a former Regus executive to lead its real estate division. Breather hired Dan Suozzi, who oversaw Regus’ real estate deals from 2012 to 2017. [TRD]
64 W 21st Street and Bruno Ricciotti (Credit: Google Maps)
Bond New York is calling it quits in Chelsea. The brokerage’s co-founder Bruno Ricciotti said the closure of the firm’s 4,400-square-foot Chelsea sales office is part of a longer-term plan to consolidate into its new Midtown headquarters. [TRD]
A big Bitcoin deals rolls in. Ben Shaoul’s Magnum Real Estate Group sold an Upper East Side retail condo at 389 East 89th Street for $15.3 million in Bitcoin. The buyer is a Taiwanese entity called Affluent Silver International LLC. Cryptocurrency transactions have been happening slowly, in part because of the rapid fluctuations in the value of digital coins. [TRD]
A Lower East Side apartment complex won’t raise rents, thanks to a $3 million tax break. The City Council approved an abatement that will cut Cherry Green Property Corp.’s annual tax bill by $3 million. In exchange, the owner must keep 1,590 apartments at its Knickerbocker Village complex affordable for the next 50 years. [Curbed]
The New York Public Library is facing a hefty rent hike in Soho. The library just inked a 30-year deal to renew its lease for 16,000 square feet at 10 Jersey Street. Rent for the ground-floor space is being doubled from $37 to $76 per square foot. [CO]
Josue Pierre
Not every New York Democratic insurgent is rejecting real estate money. Josue Pierre, who is challenging Brooklyn State Sen. Kevin Parker, said he’ll accept contributions from developers who are “doing the right thing.” [TRD]
Home construction is down 30 percent in the tri-state area. According to a new report by the Department of City Planning, the pace of new home construction was 30 percent lower from 2009 to 2018 than it was between 2001 and 2008. [silive]
Airbnb is spending millions to lift a restriction on home-sharing in Jersey City. The company spent more than $4 million through a group called Keep Our Homes. Residents vote Tuesday whether to repeal new rules which limit stays without an owner on the premises to 60 days. [WSJ]
Last week, 14 contracts were inked for residential properties priced at $4 million or more, totaling nearly $90 million. For the fifth time this year, however, no contracts were signed for more than $10 million. [Olshan]
Brooklyn’s luxury market saw 19 contracts signed last week for a total of $56.8 million. The highest-priced contract was for an apartment at 1 Clinton Street in Brooklyn Heights, at $5.4 million. [Compass]
The Ridgewood Tenants Union is facing off with the City Department of Sanitation. The group is fighting a subpoena issued by the department three weeks ago which seeks billing statements and contact information for the group’s Google Voice number. The city, it appears, is trying to figure out who in the group should receive a violation for flyers posted last year. [The City]