Bushwick art and design space 3rd Ward, shutting down after seven years as an educational work space, will not be refunding the bucks members plunked down for access to the 30,000-square-foot work space. The company alerted would-be artisans and dozens of subleasing tenants in an email.
“Unfortunately, you will not have an opportunity to use your membership after today at 6 p.m., and we will not be able to refund any payments made for membership services that have not been fully utilized before that time,” the Wednesday email said. “With the costs of running and operating our space, we are sadly no longer able to remain in business.”
Jason Goodman, a founder and chief executive of 3rd Ward, told the New York Times that rapid expansion contributed to the company’s tumble into insurmountable financial troubles.
“We realized that we needed to get ahead of this early in the summer, and we initiated an equity raise at the very beginning of the summer,” Goodman told the Times. “We were unable to bring in fresh capital. It was a roller coaster.”
Goodman, at least, will have his two recently decorated Montauk properties to fall back on.
In response to the grumbling of 3rd Ward pupils and teachers about the late notice concerning refunds, Goodman said the timing was necessary due to having to file certain paperwork.
Even so, Nigel Shamash, a broker at 5CRE who represents the owner, told Gothamist that studio space remains available and deals may be on offer for 3rd Ward members.
“It will never be the 3rd Ward again,” he told Gothamist, “but my goal is that anyone in 3rd Ward who liked the space can continue to work there.” [NYT] [DNAinfo] and [Gothamist]