Ladder Capital intends to foreclose on four Harlem rental properties owned by Isaac Kassirer’s Emerald Equity, after the firm defaulted on a $32 million loan, according to The Real Deal. The lender argues the foreclosure can go forward in part because the default was not due to Covid-19.
- Dig Deeper: The lawsuit was filed in the New York Supreme Court on Thursday and claims that the loan for 110 St. Nicholas Avenue, 110 West 116th Street, 120 West 116th Street, and 1917 Adam Clayton Powell Boulevard is 30 days past due.
- Worth Noting: In April, Isaac Kassirer extended the maturity date for the loan from April 6 to Oct. 6, and personally guaranteed the note. By Nov. 6, the nearly $32 million in principal, interest and fees was unpaid, TRD noted.
- Flashback: Emerald Equity purchased the four properties in May 2019 for $40 million from Galil Management (formerly tied to E&M), with a $30.6 million financing package from Ladder Capital. There were many vacancies in the building at the time, and Emerald planned to raise rents after doing improvements in those units, but then the new regulation laws were passed one month later. [TRD]