NY Attorney General Eric Schneiderman is seeking to block Allure Group from buying a Harlem nursing home.
An affidavit filed with the State Supreme Court makes the case that Allure’s former ownership of Rivington House on the Lower East Side (pictured) should preclude it from owning the Greater Harlem Nursing Home and Rehabilitation Center on 138th Street. Allure, a nonprofit, took over operations at the facility in 2014.
The affidavit didn't come out of the blue. In June, Schneiderman's office first acted to block the sale in Harlem, along with another prospective acquisition by Allure, reports the Wall Street Journal.
Allure bought Rivington House in 2015. The building had a deed restriction to ensure that it only be used as a nonprofit health center, and Allure paid the city $16M to have the restriction lifted before selling the building to Slate Property Group, Adam America Real Estate and China Vanke for $72M.
The trio of developers have plans to build 100 luxury condos at the property. Mayor Bill de Blasio has insisted the city will change its policies to prevent similar deed restrictions from being lifted for payment. [WSJ]
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