Update, 7/3/12, Con Ed wins round v GZM developer though he says he'll appeal: "Con Ed wins one over mosque back rent," NY Post, L. Weiss
"Chalk one up for Con Edison in its battle over back rent with the mosque developer at 51 Park Place. The Post has learned that in June, State Supreme Court Judge Richard Braun upheld the $10.35 million appraisal price obtained by the utility, which it used to calculate the rent. Con Ed argues that it is owed $1.7 million in back rent and $47,437 a month in rent for the building that sits on its land. But Sharif El-Gamal, the Park51 Mosque developer, contends Con Ed’s math is bad and that it owes $881,519 in back rent and $25,875 a month going forward."...via Atlas Shrugs
"Three of the buildings he owns currently have 754 building code violations, 80 percent of which are for "extremely hazardous" or "hazardous" conditions." And he's being sued by 4 banks.
11/17/11, "Con Ed wants to evict Ground Zero mosque developer over $1.7M back rent," NY Post, D. Gregorian, M. Klein
"Con Edison wants a judge to give it the green light to evict the would-be developer of a controversial community center and mosque near Ground Zero, arguing he doesn't have a prayer of paying the $1.7 million he owes in back rent.
At a hearing in Manhattan Supreme Court today , Con Ed lawyer Scott Mollen portrayed Sharif el-Gamal as a deadbeat slumlord who's far too cash-strapped to pay back all the money he owes the utility.
"They're $1.7 million in arrears, and they have not come close to demonstrating they have the ability" to pay up on the rent at 51 Park Place, Mollen told Justice Richard Braun. Mollen was trying to convince the judge to lift a restraining order barring Con Ed from giving Gamal the boot from the site.
The lawyer noted that Gamal is currently being sued by four banks for failing to pay loan guarantees, and also owes $230,000 in back real estate taxes - and he also hasn't paid up on a $30,000 power bill.
He said another indication of Gamal's money woes is that three of the buildings he owns currently have 754 building code violations, 80 percent of which are for "extremely hazardous" or "hazardous" conditions. If Gamal had the money, Mollen suggested, he'd simply pay to fix the problems.
"There's a mountain of evidence that shows a person in significant financial distress," Mollen said.
Gamal's lawyer, Mattthew Hearle, said his client "has the means" to pay the rent, but they believe the amount is tremendously overinflated and they plan on challenging the utility's figures. They maintain the actual back rent they owe is closer to $250,000.
Con Ed owns a former substation on the western half of the property, at 51 Park Place, and the mosque developers own a five-story building on the eastern half. The buildings were connected years ago and used to house a Burlington Coat Factory store. Gamal's Park51, which had been leasing the substation from Con Ed with an eye towards buying it, wants the two buildings so it can knock both down and build a $100 million, 15-story community center.
After years of stalled lease negotiations, Con Ed raised the rent from $2,750 a month, a rate set in 1972, to $47,437 a month, retroactive to July 31, 2008. The judge said he would rule on Con Ed's request at a later date."
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