Brooklyn Bridge Park’s Pierhouse Project Continues Construction

June 19, 2015

Last week, a judge ruled to allow our clients Toll Brothers and Starwood Capital Group to continue construction of the Pierhouse, a $320 million hotel and condominium complex in Brooklyn Bridge Park.

The decision is important for real estate developers, investors and lenders, because it holds that the four-month statute of limitations for challenging administrative determinations cannot be circumvented by couching a complaint as a declaratory judgment action. A contrary ruling would have paved the way for legal challenges to be made long after government approvals have been obtained for a development project. This would have been detrimental to developers, investors and lenders who rely on such approvals.

In April, a group called Save the View Now brought an action in Kings County Supreme Court, seeking a declaration that both the hotel and condominium being built were in excess of the height requirements specified in the governing documents for the project. Herrick's litigators were brought in to oppose the group's application for a temporary restraining order and preliminary injunction to stop construction of the project pending the litigation.

On June 12th, Justice Lawrence S. Knipel denied Save the View Now's motions in their entirety, holding that the group could not demonstrate a likelihood of success on the merits. In doing so the court found that the Pierhouse development complied with the law, and the group's challenge was untimely.

For additional information on the issues addressed in this alert, please contact:
Scott E. Mollen at + 1 212 592 1505 or [email protected]

© 2015 Herrick, Feinstein LLP. Real Estate Litigation Alert is published by Herrick, Feinstein LLP for information purposes only. Nothing contained herein is intended to serve as legal advice or counsel or as an opinion of the firm.