In July, it was reported that Macklowe Properties' dormant site at 440 Park Avenue?the 56th Street plot that used to be the treasured Drake Hotel?was destined for 30 or 50 stories of retail/hotel/condo ... greatness. Of course, the row of stately pre-Civil War townhouses on 57th Street would also have to go as part of the deal. Well, it's still full steam ahead on the Drake project but it might not be Harry and Billy Macklowe who get to reap the benefits. The Real Deal reports that Deutsche Bank has sued to foreclose on $482 million loaned to develop the Drake site. If you recall, it was Deutsche that forced the sale of Macklowe's precious GM Building and various other skyscrapers as a last-second reprieve of Papa Harry's financial troubles. The 45-page complaint was filed on August 28th, and the bank wants to force the sale of the Drake site, as well as the townhouses. Perhaps a new owner can be swayed not to raze the 57th Street properties, as preservationists wish? Eh, probz not.
· Macklowe faces foreclosure on Drake site [TRD]
· Big Mack Puts Icing on His Drake Cake? [Curbed]
· Big Mack's Burden Affecting Hot New Developments [Curbed]