Preview
INDEX NO. 158165/2015
FILED: NEW YORK COUNTY CLERK 08/03/2015 07:27 PM
NYSCEF DOC. NO. 1 RECEIVED NYSCEF : '@8/03/2015
SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF NEW YORK
penne en eee eee en mnenie nanan neen nate nm nmme namin sstnit ieee rman
182 SPRING STREET ASSOCIATES, Index No. /18
Plaintiff, AFFIDAVIT FOR
JUDGMENT
-against- BY CONFESSION
NORDICA SOHO LLC and
TRIBECA EQUITIES LLC,
Defendants.
et ett eee enema mira mene ern nintti erent
STATE OF NEW YORK )
)S.8.:
COUNTY OF NEW YORK )
JOEL SCHREIBER, being duly sworn, deposes and says:
1 I am a member of Nordica Soho LLC (“Nordica”), one of the defendants in the
above-captioned action, and | am authorized by Nordica to execute this affidavit on its behalf.
2, Nordica maintains an office for the transaction of business at c/o Waterbridge
Capital, 590 Madison Avenue, 34th Floor, New York, NY 10022,
3 I execute.this affidavit to confess judgment in the Supreme Court of the State of the
State of New York, County of New York, in favor of 182 Spring Street Associates (“SSA”) and
against Nordica Gointly and severally with Tribeca Equities LLC (“Tribeca Equities”), which
judgment may be entered against Nordica upon the termination of the Forbearance Period provided
for in the Forbearance and Limited Release Agreement dated November 4, 2014 (the
“Agreement’), but in no event earlier than June 1, 2015, whether through the occurrence of an
Event of Termination (as defined therein), the expiration of the Forbearance Period, or otherwise,
for the sum of Eleven Million Two Hundred Sixty Six Thousand Three Hundred Fifty Nine and
Righty Hundredths ($11,266,359.80) Dollars, representing the principal sum of $9,740,000 due to
SSA pursuant io a promissory note, past due interest of $580,000, interest from May17, 2014 to
October 15, 2014 in the amount of $486,733.15, the sum of $275,382, representing the cost for
SSA to record a mortgage, and contractual attorneys’ fees incurred by SSA through October 15,
2014 in the amount of $184,244.65, together with per diem interest of $3,202.19 (at the rate of
twelve (12%) percent per annum) on the principal sum of $9,740,000 from October 16, 2014
through the date of the occurrence of an Event of Termination, and per diem interest of $4,269.59
(at the default rate of sixteen (16%) percent per annum) from the date of the occurrence of an Event
of Termination to the date of entry of a judgment pursuant to this Affidavit for Judgment by
Confession, all of which shall bear post-judgment interest at the rate of sixteen (16%) percent per
annum, \ hereby authorize SSA to enter and immediately enforce judgment for these sums against
Nordica; provided, however, that this Affidavit for Judgment by Confession may not be presented
for entry, nor shall it be entered, prior to June 1, 2015.
4. This confession of judgment is for a debt which is due and owing to SSA arising
from the following facts:
(a) on or about September 28, 2010, SSA and Nordica Management LLC
(NMLLC”) entered into a Contract of Sale dated September 28, 2010 (the
“Contract’), pursuant to which SSA agreed to sell to NMLLC for the sum of
$10,480,000 that certain real property located at 182-184 Spring Street, New
York, New York in the Borough of Manhattan and in the City, County, and
State of New York (the “Premises’”), which sale was to be partially seller-
financed by SSA;
() on or about October 21, 2010, NMLLC assigned to Nordica its rights and
obligations pursuant to the Contract;
© on or about April 12, 2011, Nordica closed on its purchase the Premises and
SSA executed a deed (the “Deed”) in favor of Nordica;
@ on or about April 12, 2011, Nordica granted to SSA a mortgage lien on the
Premises pursuant to a Second Purchase Money Mortgage dated April 12,
2011 (the “Mortgage”), which secured Nordica’s obligations to SSA
pursuant to a promissory note dated April 12, 2011 in the original principal
amount of $9,630,000 (the “Note”);
@® pursuant to the Note, Nordica was required to make certain payments to SSA
commencing on the sooner of six (6) months from the Possession Date (as
defined in the Note and later determined to be March 17, 2012) or the date
2
on which Nordica actually commenced demolition of the premises, and the
Note and the Mortgage provided, inter alia, that in the event Nordica failed
to make payments to SSA as set forth therein, and following written notice
of default and failure to cure same, SSA could declare the amounts due to
SSA pursuant to the Note to be immediately due and payable in full, and
exercise its rights, including but not limited to foreclosing on the Premises;
® on or about March 13, 2012, Nordica obtained a construction loan in the
amount of $5,634,350 from Silo Capital LLC (“Silo”) and granted to Silo
mortgage to secure that amount (the “Silo Mortgage”),
@) the Note and the Morigage were amended and modified by Amendment to
Contract dated September 19, 2012 (the “Amendment’) pursuant to which
SSA and Nordica agreed, inter alia, to increase the indebtedness due to SSA
pursuant to the. Note to $9,830,000 and Nordica agreed that the mortgage
escrow deposit of $279,940 (the “Mortgage Escrow”), provided for in the
Contract.(to protect SSA in the event the Mortgage was required to be
recorded), would be paid to the Escrow Agent (as defined in the Contract)
within ten (10) days thereof;
@) in connection with the Amendment, SSA and Nordica executed a Note and
Mortgage Modification Agreement dated September 19, 2012 (the
“Modification”, and together with the Contract, the Note, the Mortgage, and
the Amendment, collectively, the “Existing Loan Documents”), but
thereafter failed to make payment of the Mortgage Escrow as provided for
within the Amendment;
° Silo thereafter contended that Nordica defaulted under the Silo Mortgage
and, on May 21, 2013, commenced legal action against Nordica to foreclose
on the Premises in the case pending under New York County Index No.
651830/13 (the “Silo Action”), in which SSA appeared and filed an Answer
in which it, inter alia, disputed the priority of the lien of the Silo Mortgage
on the Premises and asserted affirmative defenses;
@) on or about December 23, 2013, Nordica refinanced the Silo Mortgage with
182-186 Spring Street SSA LLC (“SSE”), as a result of which Silo and the
other lienholders on Premises (other than SSA) were paid the amounts due to
them and Nordica was advanced certain additional moneys from SSL (the
“Refinancing”);
& on January 17, 2014, SSA recorded the Mortgage and the Modification by
filing same with the City Register of the City of New York, New York
County, at CRFN 2014000038572, and the mortgage recording tax was then
and there duly paid;
O on May 2, 2014, and as a result of Nordica’s failure to comply with the
Existing Loan Documents, SSA sent a notice of default to Nordica (the
“2014 Notice of Default’), in which SSA, inter alia, provided Nordica with
written notice of its various obligations and rights, and demanded that
Nordica to make payment to SSA of the sum of $5,500,530.01 on July 8,
2014 to cure its default;
(m) notwithstanding SSA’s service of the 2014 Notice of Default, Nordica failed
to make payment of the sum of $5,500,530.01 by July 8, 2014 or thereafter,
and on August 13, 2014, served and filed a motion to amend the Answer it
filed in the Silo Action to assert counterclaims and cross-claims against
Nordica for foreclosure of the Mortgage and to join SSL as an additional
defendant;
(n) Nordica requested that SSA forbear from taking further action to enforce the
Existing Loan Documents and otherwise exercise its available rights,
powers, and remedies and, through execution of the Agreement, SSA agreed
to do so only upon compliance by Nordica and Tribeca Equities with the
terms thereof, which included Nordica executing an Amended and Restated
Second Mortgage as to the Premises (the “Amended Mortgage”) and an
Amended and Restated Note as to the amounts due to SSA (the “Amended
Note”, and together with the Amended Mortgage and the Existing Loan
Documents, collectively, the “Lean Documents”);
(©) as security for the repayment of the Indebtedness (as defined in the
Agreement), Nordica and Tribeca Equities each agreed to, inter alia, execute
affidavits for Judgment by Confession in full amount of the Indebtedness (as
defined in the Agreement), which SSA could immediately (but not sooner
than June 1, 2015) enter if an Event of Termination occurred pursuant to the
terms of the Agreement.
5 The sum confessed herein is justly due to SSA from Nordica pursuant to the
Agreement and the Loan Documents, and this Affidavit for Judgment by Confession is not made
for the purpose of securing SSA against a contingent liability.
6 This matter does not concern a purchase of Fifteen Hundred ($1,500) Dollars or less
of any commodities for any use other than a commercial or business use upon any plan of deferred
payments whereby the price or cost is payable in two or more installments.
1
{
JOEL SCHREIBER
Sworn to before me this 4th
day of November 2014
dh
LS LESZCZYNSKA
\s
Ned. rate OF New York
Pub! 0. O1LE6254612
fied in Kings County
My Comi sion Expires &) 6
Preview
INDEX NO. 158165/2015 FILED: NEW YORK COUNTY CLERK 08/03/2015 07:27 PM NYSCEF DOC. NO. 1 RECEIVED NYSCEF : '@8/03/2015 SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF NEW YORK penne en eee eee en mnenie nanan neen nate nm nmme namin sstnit ieee rman 182 SPRING STREET ASSOCIATES, Index No. /18 Plaintiff, AFFIDAVIT FOR JUDGMENT -against- BY CONFESSION NORDICA SOHO LLC and TRIBECA EQUITIES LLC, Defendants. et ett eee enema mira mene ern nintti erent STATE OF NEW YORK ) )S.8.: COUNTY OF NEW YORK ) JOEL SCHREIBER, being duly sworn, deposes and says: 1 I am a member of Nordica Soho LLC (“Nordica”), one of the defendants in the above-captioned action, and | am authorized by Nordica to execute this affidavit on its behalf. 2, Nordica maintains an office for the transaction of business at c/o Waterbridge Capital, 590 Madison Avenue, 34th Floor, New York, NY 10022, 3 I execute.this affidavit to confess judgment in the Supreme Court of the State of the State of New York, County of New York, in favor of 182 Spring Street Associates (“SSA”) and against Nordica Gointly and severally with Tribeca Equities LLC (“Tribeca Equities”), which judgment may be entered against Nordica upon the termination of the Forbearance Period provided for in the Forbearance and Limited Release Agreement dated November 4, 2014 (the “Agreement’), but in no event earlier than June 1, 2015, whether through the occurrence of an Event of Termination (as defined therein), the expiration of the Forbearance Period, or otherwise, for the sum of Eleven Million Two Hundred Sixty Six Thousand Three Hundred Fifty Nine and Righty Hundredths ($11,266,359.80) Dollars, representing the principal sum of $9,740,000 due to SSA pursuant io a promissory note, past due interest of $580,000, interest from May17, 2014 to October 15, 2014 in the amount of $486,733.15, the sum of $275,382, representing the cost for SSA to record a mortgage, and contractual attorneys’ fees incurred by SSA through October 15, 2014 in the amount of $184,244.65, together with per diem interest of $3,202.19 (at the rate of twelve (12%) percent per annum) on the principal sum of $9,740,000 from October 16, 2014 through the date of the occurrence of an Event of Termination, and per diem interest of $4,269.59 (at the default rate of sixteen (16%) percent per annum) from the date of the occurrence of an Event of Termination to the date of entry of a judgment pursuant to this Affidavit for Judgment by Confession, all of which shall bear post-judgment interest at the rate of sixteen (16%) percent per annum, \ hereby authorize SSA to enter and immediately enforce judgment for these sums against Nordica; provided, however, that this Affidavit for Judgment by Confession may not be presented for entry, nor shall it be entered, prior to June 1, 2015. 4. This confession of judgment is for a debt which is due and owing to SSA arising from the following facts: (a) on or about September 28, 2010, SSA and Nordica Management LLC (NMLLC”) entered into a Contract of Sale dated September 28, 2010 (the “Contract’), pursuant to which SSA agreed to sell to NMLLC for the sum of $10,480,000 that certain real property located at 182-184 Spring Street, New York, New York in the Borough of Manhattan and in the City, County, and State of New York (the “Premises’”), which sale was to be partially seller- financed by SSA; () on or about October 21, 2010, NMLLC assigned to Nordica its rights and obligations pursuant to the Contract; © on or about April 12, 2011, Nordica closed on its purchase the Premises and SSA executed a deed (the “Deed”) in favor of Nordica; @ on or about April 12, 2011, Nordica granted to SSA a mortgage lien on the Premises pursuant to a Second Purchase Money Mortgage dated April 12, 2011 (the “Mortgage”), which secured Nordica’s obligations to SSA pursuant to a promissory note dated April 12, 2011 in the original principal amount of $9,630,000 (the “Note”); @® pursuant to the Note, Nordica was required to make certain payments to SSA commencing on the sooner of six (6) months from the Possession Date (as defined in the Note and later determined to be March 17, 2012) or the date 2 on which Nordica actually commenced demolition of the premises, and the Note and the Mortgage provided, inter alia, that in the event Nordica failed to make payments to SSA as set forth therein, and following written notice of default and failure to cure same, SSA could declare the amounts due to SSA pursuant to the Note to be immediately due and payable in full, and exercise its rights, including but not limited to foreclosing on the Premises; ® on or about March 13, 2012, Nordica obtained a construction loan in the amount of $5,634,350 from Silo Capital LLC (“Silo”) and granted to Silo mortgage to secure that amount (the “Silo Mortgage”), @) the Note and the Morigage were amended and modified by Amendment to Contract dated September 19, 2012 (the “Amendment’) pursuant to which SSA and Nordica agreed, inter alia, to increase the indebtedness due to SSA pursuant to the. Note to $9,830,000 and Nordica agreed that the mortgage escrow deposit of $279,940 (the “Mortgage Escrow”), provided for in the Contract.(to protect SSA in the event the Mortgage was required to be recorded), would be paid to the Escrow Agent (as defined in the Contract) within ten (10) days thereof; @) in connection with the Amendment, SSA and Nordica executed a Note and Mortgage Modification Agreement dated September 19, 2012 (the “Modification”, and together with the Contract, the Note, the Mortgage, and the Amendment, collectively, the “Existing Loan Documents”), but thereafter failed to make payment of the Mortgage Escrow as provided for within the Amendment; ° Silo thereafter contended that Nordica defaulted under the Silo Mortgage and, on May 21, 2013, commenced legal action against Nordica to foreclose on the Premises in the case pending under New York County Index No. 651830/13 (the “Silo Action”), in which SSA appeared and filed an Answer in which it, inter alia, disputed the priority of the lien of the Silo Mortgage on the Premises and asserted affirmative defenses; @) on or about December 23, 2013, Nordica refinanced the Silo Mortgage with 182-186 Spring Street SSA LLC (“SSE”), as a result of which Silo and the other lienholders on Premises (other than SSA) were paid the amounts due to them and Nordica was advanced certain additional moneys from SSL (the “Refinancing”); & on January 17, 2014, SSA recorded the Mortgage and the Modification by filing same with the City Register of the City of New York, New York County, at CRFN 2014000038572, and the mortgage recording tax was then and there duly paid; O on May 2, 2014, and as a result of Nordica’s failure to comply with the Existing Loan Documents, SSA sent a notice of default to Nordica (the “2014 Notice of Default’), in which SSA, inter alia, provided Nordica with written notice of its various obligations and rights, and demanded that Nordica to make payment to SSA of the sum of $5,500,530.01 on July 8, 2014 to cure its default; (m) notwithstanding SSA’s service of the 2014 Notice of Default, Nordica failed to make payment of the sum of $5,500,530.01 by July 8, 2014 or thereafter, and on August 13, 2014, served and filed a motion to amend the Answer it filed in the Silo Action to assert counterclaims and cross-claims against Nordica for foreclosure of the Mortgage and to join SSL as an additional defendant; (n) Nordica requested that SSA forbear from taking further action to enforce the Existing Loan Documents and otherwise exercise its available rights, powers, and remedies and, through execution of the Agreement, SSA agreed to do so only upon compliance by Nordica and Tribeca Equities with the terms thereof, which included Nordica executing an Amended and Restated Second Mortgage as to the Premises (the “Amended Mortgage”) and an Amended and Restated Note as to the amounts due to SSA (the “Amended Note”, and together with the Amended Mortgage and the Existing Loan Documents, collectively, the “Lean Documents”); (©) as security for the repayment of the Indebtedness (as defined in the Agreement), Nordica and Tribeca Equities each agreed to, inter alia, execute affidavits for Judgment by Confession in full amount of the Indebtedness (as defined in the Agreement), which SSA could immediately (but not sooner than June 1, 2015) enter if an Event of Termination occurred pursuant to the terms of the Agreement. 5 The sum confessed herein is justly due to SSA from Nordica pursuant to the Agreement and the Loan Documents, and this Affidavit for Judgment by Confession is not made for the purpose of securing SSA against a contingent liability. 6 This matter does not concern a purchase of Fifteen Hundred ($1,500) Dollars or less of any commodities for any use other than a commercial or business use upon any plan of deferred payments whereby the price or cost is payable in two or more installments. 1 { JOEL SCHREIBER Sworn to before me this 4th day of November 2014 dh LS LESZCZYNSKA \s Ned. rate OF New York Pub! 0. O1LE6254612 fied in Kings County My Comi sion Expires &) 6