Former Dallas councilman sues Sherwin-Williams over $1M allowance
Paint company and landlord trade lawsuits over Ross Avenue lease
A beloved thrift store in Old East Dallas was closed to make way for a Sherwin Williams. But, it’s been more than four years, and the paint store never appeared.
The landlord, former Dallas City Councilman and real estate investor Mitchell Rasansky, is embroiled in a legal battle with Sherwin-Williams; the parties have sued each other for breach of contract regarding the lease agreement for 4233 Ross Avenue.
Binswo Partners, an entity affiliated with Rasansky, sued Sherwin-Williams in Dallas County district court on Jan. 16. The suit claims Binswo provided the paint company a $1.25 million allowance to build a store. Although Binswo provided extensions to the deadline and increased the allowance, the building never materialized, the lawsuit alleges.
Because Sherwin Williams allegedly hasn’t paid rent since March 2023, Binswo claims Sherwin WIlliams is in default.
This lawsuit is in response to one Sherwin-Williams filed in late November. The company sued Binswo, alleging that Binswo didn’t prepare the land as specified in the lease. The landlord agreed in the lease to demolish the buildings on the property and prepare the land for construction, the lawsuit alleges. Specifically, the company claims Binswo failed to remediate an encroachment that prevented Sherwin-Williams from obtaining permits to begin construction. Sherwin-Williams terminated the lease on March 9, 2023, its lawsuit states.
Sherwin-Williams claims it’s owed $378,000 in improperly paid rent and $402,000 in out-of-pocket development costs.
In its Jan. 16 lawsuit, Binswo disputes the “encroachment,” saying Sherwin-Williams’ “argument does not hold water.” A survey Binswo obtained shows no encroachment, the lawsuit states.
Neither Rasansky’s attorney nor Sherwin-Williams responded to requests for comment.
Rasansky is owner of the Rasansky Company, a real estate developer. He was also District 13’s councilman for eight years until 2009, and was known for his fiscal conservatism. District 13 includes parts of affluent North Dallas like Preston Hollow. Rasansky pondered a run for county judge in 2009, the Dallas Observer reported.