An FBI raid of KSK Construction tied to NYC Mayor Eric Adams uncovered an illegal residential project in the East Village, Gothamist reported.
KSK failed to obtain permits for the 12-story project at 280 East Houston St. to begin the above-ground work on the project. The city’s buildings department told Gothamist it did not notice the oversight until the publication inquired about it last month. By then, the 157-unit project already had five stories built.
While there is no known connection between the construction company and the FBI investigation, the oversight was uncovered amid intense scrutiny after an FBI raid of mayoral campaign operative Briana Suggs’ home revealed the connection.
The search revealed KSK owner Erden Arkan held a fundraiser in May 2021 that raised nearly $70,000 for Adams’ campaign. The federal government is looking into whether Adams’ team worked with KSK and the Turkish government to insert foreign money into the campaign through straw donors. The donors may have been listed as donors without having actually donated or were reimbursed later.
Mayor Adams has had other business relationships come under scrutiny in recent months. Developer Weihong Hu secured the mayor tens of thousands of dollars in campaign fundraising, while she privately scored city contracts worth millions of dollars.
Rybak Development, a Brooklyn-based developer, failed to disclose a 2019 event where employees and vendors contributed at least $71,000 that was not disclosed to campaign finance officials.
KSK was spun off from Kiska Construction roughly 20 years ago. It specializes in luxury condo projects.
–Christina Previte