Isaac Hager a short while ago missing his stakes in two large-profile qualities to personal bankruptcy sales, but that could be the minimum of his issues.
The Brooklyn developer has been accused of fraudulently transferring $7.2 million from an entity affiliated with a bankrupt Williamsburg resort job to protect the revenue from the property’s creditors, a trustee for the creditors alleges.
In a complaint submitted in federal court, the trustee, Nat Wasserstein of Lindenwood Associates, alleges the “transfers have been created with the precise intent to hinder, hold off or defraud the debtor’s lenders.”
The lawsuit comes right after Hager’s Cornell Realty shed manage of the enhancement internet site at 159 Broadway in a bankruptcy sale to senior loan provider Madison Realty Money, who closed on the Williamsburg home in November.
Cornell Realty bought the site — a prime location next to the historic Williamsburgh Personal savings Lender constructing and across the street from Peter Luger Steakhouse — for $26.3 million in 2017 and submitted programs for a 26-tale job with a 235-crucial hotel, condos and a bar and restaurant.
In 2019, Madison Realty Money supplied about $28 million in loans on the house, with Eli Tabak’s Bluestone Team kicking in a $3.5 million mezzanine personal loan. Function on the undertaking acquired underway, but Bluestone initiated a UCC foreclosures on the equity pursuits in the assets shortly immediately after the onset of the pandemic the pursuing yr. Madison initiated a foreclosure on its senior credit card debt all around the similar time.
Just prior to the UCC foreclosure auction was meant to get location in December 2020, the home entity filed for individual bankruptcy, temporarily delaying the foreclosures and supplying the debtor a prospect to restructure.
The personal bankruptcy lasted for far more than two years in a White Plains courthouse right until Madison’s prepare was authorised this summer.
Wasserstein claims that Hager’s alleged fraudulent transfers occurred concerning 2017 and 2021, mainly prior to the personal bankruptcy submitting. But the complaint alleges that the debtor entity