Home / Crime and Justice / NYC Condo Board Pays $492K for Water Damage, Sparking Outrage
NYC Condo Board Pays $492K for Water Damage, Sparking Outrage
13 Dec
Summary
- Building board paid $492,000 for neighbor's unit repairs.
- Residents are furious over the payout, demanding proof of damage.
- The couple received the funds for leaks from facade work testing.
A significant financial dispute has erupted among residents of a luxury condominium on Manhattan's Upper East Side. The building's board reportedly approved a $492,000 payout to homeowners Gina and Lou Switzer to address alleged water damage in their unit, covering repairs to cabinetry and flooring. This decision has ignited fierce opposition from other residents, who are demanding transparency and evidence of the damage.
Communication unearthed in a lawsuit shows neighbors expressing deep frustration, questioning the exorbitant sum and the lack of documentation. One resident's text message highlighted the community's disbelief, stating, 'No one would get away with getting $492,000 and not having photos of damage.' The Switzers, identified as owners of a unit purchased for $5.9 million in 2009, stated the damage was caused by leaks during facade work testing.
Despite the backlash, the building's board defended the payout, with their attorney arguing it was a more favorable option than initiating a potentially detrimental insurance claim. However, some residents pointed to a conflict of interest, as one of the recipients was also on the board. The board's legal counsel maintains that the decision is protected under the business judgment rule and expects the lawsuit to be dismissed.
