Buyers at 432 Park Avenue are suing the developers over construction defects — again.
Owners at the Billionaires’ Row tower filed another lawsuit against Macklowe Properties and CIM Group on Friday, alleging the developers concealed cracks in the building’s facade from buyers and city inspectors, Crain’s New York reported.
The complaint alleges developer Harry Macklowe and CIM engaged in a “deliberate and far-reaching fraud,” including proceeding with construction despite warnings from architects and engineers. The lawsuit, which seeks at least $165 million in damages, claims the cracks caused flooding and corrosion.
A spokesperson for CIM denied the allegations to the outlet and said the firm would seek to have the complaint dismissed.
Representatives for Macklowe did not respond to a request for comment, but the developer’s team previously called allegations about the cracks “exaggerated.”
The condo board sued the developers over alleged defects in 2021. The new lawsuit takes it a step further, accusing the developers of knowing about the issues, which the board claims it only discovered last year.
The new complaint claims Macklowe and CIM not only failed to address the issues during construction between 2011 and 2015 but actively hid them. Macklowe also allegedly changed the condo’s offering plan to skirt responsibility for the defects.
The lawsuit states that when engineers told Macklowe to fix the cracks with a thick coating of elastomeric paint, he allegedly refused over concerns that it would ruin the facade’s appearance. He instead decided on a clear silicone material used to protect his yacht.
The 2021 lawsuit is still pending. This original complaint claimed buyers at the building experienced “horrible and obtrusive noise and vibrations.”
The 142-unit building launched sales in 2013. Buyers at the supertall have included actress and singer Jennifer Lopez and her then-partner, baseball player Alex Rodriguez, as well as the Saudi retail magnate Fawaz Alhokair.
Read more
The 432 Park Avenue condo board’s battle with developers heats up
Tal Alexander’s reign at 432 Park is officially over
432 Park Ave unit, once priced at $135M, sells for $65M
