A bit-known actual property firm is going through a giant downside at its Midtown Manhattan headquarters.
JPMorgan Chase filed a foreclosures lawsuit in opposition to Park Ridge Worldwide over an alleged mortgage default at 40 West thirty seventh Avenue, Crain’s reported. The developer allegedly defaulted on a $16.8 million mortgage hooked up to the workplace property.
Park Ridge president Thomson Lee secured the mortgage from the financial institution a decade in the past, in accordance with information. Two years in the past, he modified the debt, solely to allegedly default on it by this March, when the financial institution supplied discover. Park Trip allegedly owes $15.9 million, plus curiosity and costs.
Park Ridge acquired the property for $2.6 million in 1996, happening to renovate it lower than a decade in the past. Tenants on the 13-story constructing embody Japanese restaurant Watami Sushi, psychologist’s workplace Conduct Remedy of New York, Spanish wine importer Aviva Vino and a showroom for sock producer Royce Too. GS Blow Dry Bar inked a deal for two,200 sq. toes at $90 per sq. foot final yr, in accordance with Traded.
Workplace rents on the constructing grasp round $46 per sq. foot, in accordance with CoStar. The property is 91 p.c occupied.
What Park Ridge is as much as is anybody’s guess. The corporate has no web site to talk of and is nearly by no means reported on. It didn’t reply to a request for remark from Crain’s.
However the agency isn’t alone in coping with workplace misery in Midtown Manhattan.
In February, APF Properties lost a Midtown workplace constructing at 25 West forty fifth Avenue to its lender, Wells Fargo, at a foreclosures public sale for $45.1 million. The foreclosures was filed after APF defaulted on $70 million in CMBS debt; the property was appraised at $55 million, under the $75 million in hooked up debt.
And final month, a pre-foreclosure suit was filed in opposition to the Parkoff Group for the workplace constructing at 110 East fifty fifth Avenue by an entity tied to development firm JT Magen, which holds the mortgage and claims the proprietor defaulted, owing $40.6 million in principal and curiosity.
Muddying the waters is that the 73,000-square-foot constructing is taken into account one of many remaining properties wanted for Extell principal Gary Barnett’s large improvement assemblage on Park Avenue and JT Magen has partnered with Extell on different foreclosures wins.
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