Ashkenazy’s legal battles, inside broker rankings... and other top stories from the week

The best national real estate stories from The Real Deal. Apr 16, 2023 [View in Browser]( | [$1 for 1 Month](     In today’s newsletter, we take a look at Ben [Ashkenazy’s fight to retain control]( of 625 Madison. Ashkenazy’s battle has lasted years, but the latest news comes as defaults and foreclosures have become the norm in the commercial space. Just this week, [Arbor foreclosed on a $229 million Houston portfolio](, while [601W is fighting for control of Chicago’s Aon Center](. These and more stories below.   [What is Ashkenazy worth? The latest in the investor’s Madison Avenue battles]( Ben Ashkenazy is a [tenacious billionaire developer with a reputation]( for legal battles and loan defaults. He’s been accused of driving the beloved department store Barneys into ruin and he allegedly once threatened to “go nuclear” on his business partners, the Gindis. He’s had scuffles in, among other places, New York, Houston, Baltimore, Boston, and Washington, D.C. But, the latest development in one decade-long dispute will cover a new topic: [Ashkenazy’s net worth](. The conflict between Ashkenazy and SL Green centers on a plot of land owned by Ashkenazy upon which SL Green's headquarters stands at 625 Madison. The investor’s plan was obvious: He would jack up the rent on SL Green from $4.6 million a year to as much as $80 million annually. But SL Green wouldn’t go down without a fight, so it bought the loan from Ashkenazy's lender and pressured Ashkenazy to make additional payments or be considered in default. The loan agreement stipulates that Ashkenazy must maintain a net worth of $195 million and liquid assets of $5 million for the duration of the loan. If he fails to meet those requirements, the loan will be in technical default, allowing the lender to accelerate repayment of the loan. With the loan due to mature in a few months, could that spell the end of the conflict for this contentious couple? Even if it does mark the end of that battle, Ashkenazy will have plenty of other conflicts to focus on. He only needs to look across the street to find one, as his firm is [fighting foreclosure at 635 Madison after defaulting on a $90 million loan](. It’s the latest in a series of recent troubles for Ashkenazy, whose firm has blamed much of its recent distress on the Covid pandemic.   Together with Capital Funding Group Meet CFG: One Lender, Endless Possibilities With programs available through HUD’s Federal Housing Administration (FHA) Office of Multifamily Housing Programs, Capital Funding Group [offers FHA/HUD multifamily loans](, both affordable and market rate, as financing options for borrowers seeking high leverage allowances, with fixed rates and longer terms. HUD loans are non-recourse and fully assumable with HUD/FHA approval. Through CFG’s[partnership with HUD](, they support several HUD loan programs, including new construction or substantial rehabilitation of new or existing apartments; acquisition or refinancing of existing multifamily properties; and the refinancing of existing FHA-insured loans or grants. CFG’s experienced MAP (Multifamily Accelerated Processing) team expedites the underwriting, processing and closing of HUD/FHA-insured multifamily loans for both for-profit and non-profit borrowers. After your loan is executed, your partnership doesn’t end; CFG continues servicing [your HUD loan](, for the life of the loan.   [I'm an image]( [Arbor forecloses on $229M portfolio]( Distress is rearing its head in Houston’s multifamily market. Arbor Realty Trust is foreclosing on four low-income multifamily properties throughout the city after the owner, Applesway Investment Group, defaulted on its mortgage payments. [I'm an image]( [Inside the annual brokerage rankings]( It’s rankings season for residential brokerages. But what goes into the making of these lists? And what impact do they have on the industry? The Real Deal went inside [our annual brokerage rankings]( (and a few others) to find out. [I'm an image]( [Citadel, Sterling Bay part ways on Miami HQ]( Ken Griffin’s Citadel is in the middle of a heavily-publicized move to South Florida, but the transition has had its hurdles. The latest? The hedge fund is parting ways with developer Sterling Bay for its planned $1 billion Miami headquarters.   Advertisement   [I'm an image]( [Brand Studio CRE Update with Moody’s Analytics: Lenders in Limbo]( [I'm an image]( [Blackstone closes record $30B real estate fund]( Asset management behemoth Blackstone has ended fundraising for a $30 billion real estate fund. That gives it $50 billion in dry powder to deploy across the real estate market. [I'm an image]( [Fifteen Group takes on DTLA]( Fifteen Group may be based in Florida, but it's making waves in Los Angeles. The firm has big plans for a recently purchased $315 million multifamily portfolio. We took a look into Fifteen’s past, which may shed light on its new plans. [I'm an image]( [601W fighting to keep Aon Center]( One of Chicago’s tallest skyscrapers is in limbo, but the owner won’t go down without a fight. 601W reached a deal with its lender this week after approaching a default on the $678 million debt package. [I'm an image]( [Brand Studio Stefan Soloviev of Soloviev Group: A Q&A Session]( [I'm an image]( [Salesforce to shed offices at SF’s Salesforce Tower]( Salesforce has been shrinking its San Francisco office portfolio since last year. But the latest cut is a big one. The tech company will shed 125,000 square feet of office space at the iconic SoMa tower that bears its name. [I'm an image]( [Jacob Garlick wants back in on Flatiron Building]( After coming out of nowhere to win a dramatic live auction for the Flatiron Building, then failing to produce a deposit to secure his $190 million bid, Garlick has been scrambling to show that he has the money. The 31-year-old maintains he’s still in the running to buy the property.   [Facebook]( [Twitter]( [Instagram]( [LinkedIn]( [YouTube]( [Manage Newsletters]( | [Unsubscribe]( | [Privacy Policy]( | [Subscribe]( | [Advertise]( The Real Deal 450 West 31st Street, New York, NY 10001 ©2023 TheRealDeal. All rights reserved. [View Online](