How to know you've gotten a good deal at One Madison Park: you're being sued. Take Ian Bruce Eichner, a developer and One Mad Park buyer who closed on his 4BR, 52nd-floor condo, listed for $11.75 million at the peak, for only $5 million (a price that still works out to $1,500/square foot). How'd Eichner get such a sweet deal? He promised to loan the building's struggling developers $4.5 million at contract signing.
Now he and other buyers with the best deals in the building are named as defendants in the building's foreclosure suit because the closing prices for their apartments are less than the minimum prices agreed on by the developers and lender iStar Financial. The money Eichner lent to the developers also seems to have vanished into thin air. And a judge refused to dismiss the suit against him because it is unclear whether he and the other buyer defendants were actually legit purchasers. Steering clear of the drama is fellow One Mad Park buyer Peter Buffett, son of Warren, whose $3.5 million, 18th-floor 3BR wasn't a good enough deal to get him sued. Memo to all those eager prospective buyers: if it sounds too good to be true, it probably is.
· Buyer of Dream Apartment Now Fights to Keep It [WSJ]
· One Madison Park coverage [Curbed]