444 E. 13th St. is on the auction block

444 E. 13th St., a residential building between Avenue A and First Avenue, is available via an auction starting Monday. 

According to the listing, the opening bid is $1.3 million. 

Here's more... 

... the property is a six-story, 17-unit mixed-use walk-up building totaling 12,384 square feet. Eight of the 16 residential units are Free Market, while the remaining eight are Rent Stabilized. The units consist of a mix between one-bedrooms (4), two-bedrooms (9), and three bedrooms (3) apartments. The commercial space is currently vacant and is approximately 812 square feet, with a full basement space featuring 8.5-foot ceiling heights. 

This was the first East Village building that disgraced landlord Raphael Toledano purchased, paying $6.1 million in January 2015. 

In the spring of 2015, rent-regulated tenants at 444 accused Toledano and a management company he hired of harassment and intimidation. A staff attorney at the Urban Justice Center, who represented the 13th Street tenants, told reporters during a rally outside the building in May 2015 that "there are tape-recorded conversations where the landlord is threatening to drop dynamite on the building and then let everyone 'figure it out themselves.'"

In 2015, Toledano agreed to pay more than $1 million to settle the harassment claims.

In February 2022, New York Attorney General Letitia James announced a court victory against Toledano. An order by the New York Supreme Court barred him from engaging in any New York real-estate business activity for at least five years, at which point he can petition the court for re-entrance.

In May 2021, Madison Realty Capital closed on Toledano's bankrupt East Village portfolio. Toledano had received $124 million in cash and lines of credit from MRC to finance his $97 million purchase of the buildings. 

Toledano, who was in his mid-20s at the time, purchased 28 buildings in two separate portfolios from the Tabak family for $140 million in 2015. Experienced real-estate players raised red flags about Toledano's heavy reliance on debt.  

Previously on EV Grieve:

Claim: Landlord of 444 E. 13th St. threatened 'to drop dynamite on the building'