Commission Feud over Balazs Lower Manhattan Purchase
An independent Manhattan broker who says he facilitated hotel mogul Andre Balazs’ recent Lower Manhattan purchase-in-progress, filed a lawsuit in the New York State Supreme Court saying he was slighted by the sellers. Neil Gronowetter, the broker and chairman of Multifamily Investor, claims credit for introducing Balazs to Bonjour Capital, the sellers of Balazs property of interest: 5 Beekman Street. Gronowetter made the aforementioned introduction in July 2010 and was verbally promised 1 percent commission by Bounjour at that time, according to the lawsuit.
According to records, Balazs is under contract to buy the 128,000 square-foot building. It was originally built in 1883 and purchased by Bonjour, with partner the Chetrit Group in 2008 for $61 million. Gornowetter, in court papers, acknowledged that he did not carefully read a document that he believed to be a brokerage contract and turned out to be a sales document. However, he maintains that he is owed commission.
Source: The Real Deal
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