The real estate investors began work on the 63-story project in 2014, when they agreed to develop the condominium together under an LLC in which they both had an interest. The building is situated next to Rosen’s Seagram Building.
Under their agreement, however, RFR had the exclusive right to deal with the building’s debts, according to the lawsuit, and so Vanke’s communication with the bank was a breach of contract.
When the mortgage on the property became due in full in May, Rosen couldn’t pay it off because of the damage the Covid-19 pandemic did to the luxury condo market, as well as the glut of high-end apartments spanning several years. He tried to negotiate with ICBC for an extension, but the bank refused.
Vanke then “self-servingly” offered to purchase the 25 least expensive units in the tower for $75 million in March to help pay down the