Magnum Real Estate Sued Over Tribeca Condo Reserve Fund

Magnum Real Estate's Ben Shaoul and 87 Leonard Street (Getty; StreetEasy)

Magnum Real Estate’s Ben Shaoul and 87 Leonard Street (Getty; StreetEasy)

Unit owners are accusing Ben Shaoul’s firm of stiffing them on reserve-fund money for the Tribeca condominium 87 Leonard. But the law might not be on their side.

The board of managers on Tuesday sued Shaoul’s Magnum Real Estate, alleging the developer was required to put another $1.89 million in sales proceeds into the building’s reserve fund. The board seeks that money plus fines and penalties for a total of about $7.6 million. The boutique project’s seven residences sold for between $6.6 million and $9.1 million from 2016 to 2018.

A reserve fund in a condominium is earmarked for building repairs and improvements. The case at 87 Leonard hinges on whether the law required 3 percent of sales to be contributed to the reserve fund, which may depend on what kind of building it was upon being converted to

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Tribeca Building Owner Gary Tse Files to Bankruptcy

381 Broadway (Google Maps)

381 Broadway (Google Maps)

The owner of a five-story commercial building in Tribeca has filed for bankruptcy, facing foreclosure and $23 million in debt.

CTW Realty’s Gary Tse owns the 18,300-square-foot building at 381 Broadway through an entity, 381 Broadway Realty, which recently filed for Chapter 11 protection with the U.S. Bankruptcy Court Southern District of New York in Manhattan.

Another property owned by Tse at 55-59 Chrystie Street in Chinatown was sold in a bankruptcy auction earlier this year. Jeffrey Lam of Lam Generation bought the 46,000-square-foot mixed-use building in Chinatown for $28.6 million, according to public records.

Tse’s lenders have been trying for more than two years to foreclose on the property for default, but can’t proceed currently because of the pandemic.

In June 2018, Wilmington Trust, which had taken over Tse’s $15 million mortgage for the Tribeca building from the original lender, Ladder Capital, sued the building

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Toni Morrison’s Tribeca Apartment Is for Sale

A piece of literary history is now on the market in New York City. It is a three-bedroom, two-and-a-half-bathroom condominium in the Tribeca neighborhood owned by Toni Morrison from 2014 until her death in 2019, and it is listed for $4.75 million.

The loft features an open floor plan in the main living space, with the kitchen looking out to a combination dining room and living room, which gets plenty of light thanks to a wall of windows with great views of Manhattan. The space is warm thanks to wood kitchen cabinets and a rich, dark hardwood floor, but bright thanks to the stark white walls, which provide a great backdrop for the art currently on display. Fittingly for a home owned by a Pulitzer- and Nobel Prize–winning author, the main focus of the dining room is a large wall of built-in bookshelves. In the living room, there is a

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