A problem is brewing in Crown Heights.
A stalled project to redevelop the historic Nassau Brewing Company complex is now facing a bankruptcy sale, with an owner claiming the property was mishandled.
Churchill Real Estate, the project’s managing partner, is planning a bankruptcy sale for the mixed-use residential area of 945 Bergen Street. A Chapter 11 filing on Friday by Nassau Brewing Company Landlord LLC cited alleged mismanagement as the reason for the restructuring and sale, according to PincusCo.
Brooklyn-based Crow Hill Development, owned by Fabian Friedland, co-owns the property it acquired along with 1036 Dean Street for $ 7.5 million more than a decade ago. Friedland sold the Dean Street property for $ 17.5 million in 2014, but kept the Bergen Street property.
Churchill joined the project in 2016 after investing an additional $ 5 million.
The project encountered numerous problems. A retail tenant claims he was unable to occupy space but was not returned his security deposit or $ 189,000 total first month’s rent.
Churchill replaced Friedland as project manager last week, according to PincusCo. They alleged in their filing that the change was made “due to various defaults in payments, including money embezzlement and other misconduct,” claiming that Friedland “is grossly mishandling the project and appears to be millions of dollars.” diverted that should have been “. put in rehabilitation. “
The bad management allegations also concern construction funds and allegedly forged corporate documents.
[PincusCo] – Holden Walter-Warner