“The project needs to be completed not only to realize the maximum value of the property for all creditors, but also to provide a new living opportunity for that community in the Bronx,” said Jonathan S. Pasternak of Davidoff Hutcher & Citron LLP, counsel for Valdesia Gardens.
David Goldwasser of FIA Consultants has been brought on as chief restructuring officer, and the company is actively pursuing debtor-in-possession financing to stabilize operations and move forward with construction.
Legal Challenges
Valdesia Gardens faces significant legal liabilities, including:
- A lien from the Environmental Control Board of New York City.
- Seven lawsuits involving personal injury claims, labor law violations, a foreclosure action by CPC’s affiliate, and a mechanics’ lien.
The foreclosure action was initiated in 2022 and remains a major factor in the bankruptcy proceedings.
Court Oversight
The case has been assigned to U.S. Bankruptcy Judge Kyu Young Paek.
Representation
Valdesia Gardens is represented by Jonathan S. Pasternak of Davidoff Hutcher & Citron LLP.
