The Real Deal - New York Real Estate News

Landlords challenge city laws protecting non-paying businesses

Posted: 10 Jul 2020 05:08 PM PDT

Two commercial landlords sued the city Friday over laws hastily passed to protect retail tenants during the pandemic. The federal lawsuit challenges a package of bills that Mayor Bill de Blasio signed in May, including one that temporarily bars landlords from going after the personal assets of restaurant and store owners who owe rent. The lawsuit alleges that Mayor Bill de Blasio’s actions deny landlords’ First Amendment rights and violate the contract clause of the

Crossbow-wielding manager sexually harassed WeWork staffer, latest discrimination suit claims

Posted: 10 Jul 2020 03:15 PM PDT

A new federal lawsuit accuses WeWork of bungling its response to a complaint that a mid-level manager regularly wielded weapons at the office, bragged of ties to the mafia, and had a reputation for making unwanted advances on female staff as well as WeWork clients. Rather than rectify the situation, the lawsuit claims that WeWork used the excuse of economic harm caused by Covid-19 to terminate the plaintiff, Alexandria Fitzgerald. “WeWork cynically used the pretext

Compass to appeal decision sustaining Realogy’s suit

Posted: 10 Jul 2020 02:05 PM PDT

Compass will appeal a New York judge’s decision last month to let Realogy proceed with a lawsuit that alleges its rival engaged in “predatory” poaching and illicit business practices. Judge Barry Ostrager had sustained Realogy’s case June 5 by denying Compass’ motion to dismiss it and compel arbitration. According to a July 9 notice of appeal, Compass is now taking the matter to the Appellate Division. Realogy, a conglomerate that owns the Corcoran Group and

TRD Insights: LA retail hasn’t rebounded in these major submarkets

Posted: 10 Jul 2020 02:00 PM PDT

Even after California allowed many shuttered businesses to reopen their doors, shoppers were slow to return to some LA’s biggest retail arteries. Foot traffic in the last week of June at major LA retail corridors was down 41 percent from its level in the first week of March, according to data from geospatial analytics firm Orbital Insight. Of all major retail arteries in Los Angeles, only Santa Monica Beach saw foot traffic come remotely within

US hotel occupancy falls for first time in 11 weeks. Blame Covid again

Posted: 10 Jul 2020 12:00 PM PDT

The 11-week climb in U.S. hotel occupancy rates ended ahead of the July 4 holiday, in part because of the spike in coronavirus cases led states to roll back their reopenings and close beaches. New hotel rooms that came online also tamped down overall demand, according to the latest figures from hotel data tracker STR. Nationwide, hotel occupancy stood at 45.6 percent for the week ending July 4, down from 46.2 percent the week prior,

Brooklyn and Queens Q2 sales fall at highest rate in decade

Posted: 10 Jul 2020 11:30 AM PDT

Brooklyn home sales fell last quarter at the highest rate in 10 years, as the pandemic wiped out the real estate industry’s critical spring market. But it’s not all bad news for sellers. In the same time period, the median Brooklyn home price increased to a record $820,000, according to the latest market report from Douglas Elliman. “What’s been happening in the market on a pricing basis is that the market has continued to flirt

Miley Cyrus cuts $5M off-market deal for a Hidden Hills abode

Posted: 10 Jul 2020 11:00 AM PDT

Singer and actress Miley Cyrus picked up a mid-century home in Hidden Hills for $5 million in an off-market transaction late last month. Cyrus bought the 1.2-acre property through a trust from actor Scott Baio’s brother, Steven Baio, according to the Los Angeles Times. The property was last on the market last summer for just over $5 million and was up for lease at $39,000 per month. Cyrus’ new 1957-built home spans 6,000 square feet

New state bill to cancel rent, mortgages

Posted: 10 Jul 2020 10:15 AM PDT

A Manhattan Assembly member has proposed a new bill to cancel rent and some mortgage payments. In a twist from other such bills, the one would provide some money to landlords. The “Rent and Mortgage Cancellation Act of 2020” is sponsored by Democrat Yuh-line Niou, a pro-tenant firebrand who has also championed “good cause” eviction. Her legislation, carried by real estate nemesis Sen. Julia Salazar in the state Senate, would cancel rent for tenants, and

TRD Insights: Forbearance rates fall for third week

Posted: 10 Jul 2020 10:00 AM PDT

As many Americans returned to work, mortgages in forbearance fell for the third consecutive week. Home loans in forbearance made up 8.39 percent of servicers’ portfolios for the week ending June 28, according to figures released Monday by the Mortgage Bankers Association. That’s down from 8.47 percent for the week ending June 21 and from 8.48 percent for the week before. Nearly 4.2 million homeowners are now in forbearance plans, the lowest level in months.

NYC zoos, aquarium plan to reopen this month

Posted: 10 Jul 2020 08:15 AM PDT

New York City’s zoos and aquarium are planning to open later this month, along with museums and movie theaters. While the definitive reopening of the attractions has not yet been announced, many expect New York City to enter phase 4 on July 20, at the earliest, the New York Times reported. The city entered phase 3 earlier this week. In anticipation of phase 4, the zoos in Central Park, Prospect Park, the Bronx and Queens,

VC or PPP? Some proptech firms got both

Posted: 10 Jul 2020 07:30 AM PDT

Knotel has raised $560 million in venture capital since 2016. But when coronavirus hit, the flex-office provider received a PPP loan between $5 million and $10 million to retain employees. It wasn’t alone: at least two dozen proptech firms received funds through the CARES Act, according to an analysis of newly released data by The Real Deal. Among the beneficiaries is Homelight, an agent referral startup; the hospitality startup Domio; Selina, a hotel startup backed

Bidders line up to buy Brooks Brothers out of bankruptcy

Posted: 10 Jul 2020 07:00 AM PDT

Two suitors are competing to take over suiting stalwart Brooks Brothers after it filed for Chapter 11 bankruptcy this week. An entity tied to Authentic Brands Group and mall owner Simon Property Group are considering a bid to buy the retailer out of bankruptcy, the Wall Street Journal reported. WHP Global, which is backed by Oaktree Capital and already holds a $75 million debtor-in-possession loan from Brooks Brothers, is also preparing an offer. The loan

Retired tennis superstar Chris Evert sells Boca Raton estate

Posted: 10 Jul 2020 06:30 AM PDT

The former No. 1 tennis player in the world sold her Boca Raton compound for nearly $4 million. Retired tennis superstar Chris Evert sold the eight-bedroom, seven-bathroom estate at 8563 Horseshoe Lane, according to her listing agent’s social media post. Evert put the property up for sale more than two years ago for just under $5 million. Katia Reisler of Douglas Elliman and Rebecca Spooner of Siemens Group Realty represented Evert. The buyer is not

Robert De Niro says Nobu, Greenwich Hotel are struggling

Posted: 10 Jul 2020 06:00 AM PDT

Not even Robert De Niro is immune from the pandemic’s impact on real estate. The actor and director said his investments in restaurant chain Nobu and the Greenwich Hotel have strained his finances, Page Six reported. The news was revealed during a divorce proceeding in which De Niro’s wife, Grace Hightower, requested an emergency order to raise her monthly credit card allowance to $100,000 from $50,000. An attorney told the judge that the allowance had

Congressman pitching high-risk lifeline for CRE

Posted: 10 Jul 2020 04:30 AM PDT

A real estate financier turned U.S. representative is leading the charge to give the commercial real estate industry a lifeline — albeit a risky one for the government. Texas Republican Rep. Nicholas Van Taylor plans to introduce a bill that would authorize the Treasury Department to provide real estate investors hit by the pandemic with low-cost financing to support their properties, according to real estate attorneys briefed on the proposal. “The idea is that the

Harry Macklowe, Aby Rosen and Joe Sitt among 6,500+ developers, landlords who got PPP bucks

Posted: 10 Jul 2020 04:00 AM PDT

With the free market in free fall, real estate bigwigs turned to Uncle Sam. Harry Macklowe, Aby Rosen and the U.S. subsidiary of Chinese developer Greenland were among the thousands of recipients of the Small Business Administration’s Paycheck Protection Program. The program, which provides forgivable loans so companies can keep employees on payroll, has been extended for a third time. Developers and landlords were excluded from the program, but some used loopholes — such as