Dune Real Estate Partners has filed to foreclose on loans granted to the Alexico Group’s Mark Hotel in Manhattan’s Upper East Side by the Anglo Irish Bank.
Simon Elias and Izak Senbahar of Alexico used Mark Hotel as collateral for the five hotel-related loans. The loans consist of a $14 million pre-development loan from 2006, a building loan mortgage totaling about $60.78 million from 2007, a $22.7 million project loan, $17 million in supplemental building loans and finally a $6.3 supplemental loan mortgage. On top of this, unpaid interest rates, late charges, protective advances, service fees and attorney expenses accompany the outstanding debts. All of these loans are now in default according to the public foreclosure filed back in early June.
The fates have not smiled too brightly upon these developers over the past few years. The Mark Hotel was originally slated to house 42 co-ops until the market took a turn for the worst. The plan was then revamped to include 150 hotel rooms and 10 co-ops. Unfortunately as of last March only 2 of the co-ops had been sold. Additionally, Fillmore Capital Partners filed a $21.1 million suit against the two in March for defaulting on a mezzanine loan at the hotel worth $25.8 million.
The developers appear to be fighting back, though, filing a $1 billion suit against the Anglo Irish for purportedly selling loans at some of its other buildings to a competing firm.