Blackstone is looking to foreclose on a Manhattan office building where brothers Eli and Isaac Chetrit allegedly defaulted on a $19 million loan.
The lender filed a New York state lawsuit to take 286 Fifth Avenue, a 12‑story, 44,400‑square‑foot property, Crain’s New York Business reported. Blackstone acquired the debt after Signature Bank’s 2023 collapse.
The Chetrits are members of the high-profile family of investors that has multiple distressed properties in New York. The outlet was unable to reach them for comment.
The brothers have faced similar troubles before. In 2024, debt dealer Maverick Real Estate Partners, which recently bought other Chetrit holdings at auction, sought to foreclose on their SoHo property at 447 Broadway over an unpaid $14.7 million Signature‑issued loan. In that case, the Chetrits argued that Signature’s sudden failure deprived them of the opportunity to renegotiate terms.
That dispute was settled for an undisclosed amount earlier this year, suggesting they may raise similar arguments again.
According to the new complaint, the Chetrits stopped making payments on the loan in December 2024. Blackstone issued a default notice in May demanding repayment of the remaining principal — now $15.6 million — and future rents from tenants, which include a law firm, a psychology practice and an Arthur Murray Dance Studio.
The building is 95 percent leased at roughly $40 per square foot, but the owners allegedly did not comply with the notice.
For decades, 286 Fifth belonged to the Kiamie family, led by Syrian immigrant and entrepreneur Najeeb Kiamie, whose Windsor Management still operates in the market. The Chetrits, through AB & Sons Group, appear to have co‑owned the building with the Kiamies before taking full control.
AB & Sons signed an $11.1 million mortgage in 2007, and later the 2017 loan that’s now in dispute. The building changed hands internally in 2022, with ownership transferred to an entity called Zhora State Equities.
Blackstone acquired a large portion of Signature’s loan book in late 2023, including the debt tied to 286 Fifth Avenue. Court filings show AB & Sons’ members include Eli’s son, Abraham.
Attorneys for the ownership entities either declined to comment or were unavailable, according to Crain’s.
– Joel Russell
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