Kenneth Rosenblum is ready to part with a half dozen multifamily buildings after years of battles with his co-landlord: his mother.
A 146-unit portfolio in the West Village courtesy of Standard Realty Associates is hitting the auction block, Crain’s reported. The walk-up portfolio, which is 82 percent free-market and inclusive of commercial spaces, includes 25 Thompson Street, 71 Thompson Street, 98 Thompson Street, 42 Bank Street, 99 Perry Street and 117 Waverly Place.
Previous attempts to sell the properties went nowhere because of the differing valuations between Kenneth and his mother, Bernice, who died last year at 102 years old. Auctioning the properties eliminates the conflict; proceeds will be split equally between Kenneth and Bernice’s estate, which is managed by another son and a grandson.
A JLL team including Bob Knakal and Jonathan Hageman are marketing the properties, each of which will open with a $250,000 bid.
The Rosenblums provided a memorable episode of family drama in New York real estate several years ago. Kenneth filed a legal petition in 2015 to dissolve the partnership with Bernice, who was 96 years old at the time. Despite a business relationship spanning four decades, Kenneth claimed Bernice’s “disruptive and abusive behavior” was leading employees to resign.
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Kenneth also alleged his mother once ordered their bookkeeper to issue her a $5 million check, even though Standard Realty didn’t have that funding available.
Prior to that, Bernice accused Kenneth of using $14 million in company money on personal real estate investments without approval. They reached a settlement in 2014, which he claimed was paid by 2017; she maintained the settlement was not paid.
In 2016, Kenneth claimed the partnership was dissolved and that Bernice had to buy him out of the business by 2020. In an affidavit in 2020, Bernice claimed she was still active in the business and was still turning a profit, despite crossing the century mark in age.
The court-approved auction is in response to a ruling for the family to sever financial ties and liquidate their holdings. It is scheduled for Dec. 6 and 7.
— Holden Walter-Warner