Wednesday, April 13, 2016
Preet Bharara, U.S. Attorney for the Southern District of New York, is the latest official to probe the sale of the former Rivington House on the Lower East Side, Politico New York reports.
The deal under the de Blasio administration's watch in November is already under investigation by Attorney General Eric Schneiderman, the city Department of Investigation and City Comptroller Scott Stringer.
To recap: In February 2015, Allure paid $28 million for the property, promising that 45 Rivington — the former Rivington Center for Nursing & Rehabilitation — would remain a health facility. In November, a city agency lifted the the deed in exchange for the Allure Group's $16 million payment to the city. Earlier this year, Allure then reportedly sold the property for $116 million to the the Slate Property Group, a condo developer who plans to create 100 luxury residences in the building that overlooks Sara S. Roosevelt Park.
The mayor has said he was unaware of the transaction until last month. City officials have accused Allure of misleading the administration about its intentions.
The Wall Street Journal reports that Bharara's office "is also examining whether donors to the Campaign for One New York, a nonprofit supporting Mr. de Blasio’s agenda and run by his allies, have benefited from favorable treatment from the mayor’s administration, people familiar with the matter have said."
A de Blasio spokesperson told the Journal that the administration didn't have any knowledge of a federal probe but would cooperate fully with any investigation.