Despite $30.75M Sale of Allen Street Hotel, the Abandoned Eyesore Remains a Disgusting Toilet

Posted on: August 11th, 2016 at 5:00 am by
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After a drawn-out foreclosure process wrought with drama and years sitting vacant, the sixteen-story eyesore known as the Allen Street Hotel is finally under new ownership. The properties comprising 139-141 Orchard Street sold in auction this past May to real estate tycoon Morris Moinian and his partner Morry Kalimian of Elk Investors.

The duo paid $30.75 million for the incomplete development with the intention of completing the project within twelve to sixteen months. Yeah, that’s not happening. And to that end, it certainly appears as though Moinian and Kalimian don’t care about the investment. Instead, the rotting building remains a dumping ground for human excrement, mattresses, household garbage, and a host of other sundries.

So much so, in fact, that locals know to avoid walking beneath the sidewalk shed – on either side of the property (Orchard and Allen) – at all costs.

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“We call 311 continually but nothing has been done,” one fed-up neighbor tells us. “It’s a health hazard to live next to … and is getting worse.”

Nothing new, really. The previous owner, developer D.A.B. Group, let the property rot for the entirety of foreclosure and bankruptcy.

Update: Tim Laughlin from the Lower East Side Partnership tells us that the mess was “addressed yesterday by DSNY and have been fully remediated in coordination with agency partners.” It’s only a matter of time, though, before it worsens again. 

The Allen Street Hotel snuck onto the scene in the eleventh hour before the 2008 zoning took hold, and slyly ascended sixteen stories. Three years later, D.A.B. Group allegedly ceased the necessary mortgage payments, and the property slipped into foreclosure.

Here’s to another few years of piss and shit on the block.

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