Blackstone is trying to foreclose on a Manhattan workplace constructing the place brothers Eli and Isaac Chetrit allegedly defaulted on a $19 million mortgage.
The lender filed a New York state lawsuit to take 286 Fifth Avenue, a 12‑story, 44,400‑sq.‑foot property, Crain’s New York Business reported. Blackstone acquired the debt after Signature Financial institution’s 2023 collapse.
The Chetrits are members of the high-profile household of buyers that has multiple distressed properties in New York. The outlet was unable to succeed in them for remark.
The brothers have confronted related troubles earlier than. In 2024, debt dealer Maverick Actual Property Companions, which lately purchased different Chetrit holdings at public sale, sought to foreclose on their SoHo property at 447 Broadway over an unpaid $14.7 million Signature‑issued mortgage. In that case, the Chetrits argued that Signature’s sudden failure disadvantaged them of the chance to renegotiate phrases.
That dispute was settled for an undisclosed quantity earlier this yr, suggesting they might elevate related arguments once more.
In accordance with the brand new criticism, the Chetrits stopped making funds on the mortgage in December 2024. Blackstone issued a default discover in Might demanding compensation of the remaining principal — now $15.6 million — and future rents from tenants, which embody a legislation agency, a psychology apply and an Arthur Murray Dance Studio.
The constructing is 95 p.c leased at roughly $40 per sq. foot, however the homeowners allegedly didn’t adjust to the discover.
For many years, 286 Fifth belonged to the Kiamie household, led by Syrian immigrant and entrepreneur Najeeb Kiamie, whose Windsor Administration nonetheless operates available in the market. The Chetrits, by way of AB & Sons Group, seem to have co‑owned the constructing with the Kiamies earlier than taking full management.
AB & Sons signed an $11.1 million mortgage in 2007, and later the 2017 mortgage that’s now in dispute. The constructing modified fingers internally in 2022, with possession transferred to an entity referred to as Zhora State Equities.
Blackstone acquired a big portion of Signature’s mortgage guide in late 2023, together with the debt tied to 286 Fifth Avenue. Courtroom filings present AB & Sons’ members embody Eli’s son, Abraham.
Attorneys for the possession entities both declined to remark or have been unavailable, in accordance with Crain’s.
– Joel Russell
Learn extra
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Maverick quietly takes Chetrit interests at own auction
Isaac and Eli Chetrit near end of Maverick nightmare
