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Manhattan judge has granted Cooper Union permission to collect rents from tenants at the Chrysler Building while a dispute over control of the skyscraper continues. The school and Aby Rosen's RFR Holdings are locked in a battle for control after Cooper Union terminated their ground lease last month.
Judge Jennifer Schecter issued an injunction, stating that RFR cannot interfere with Cooper Union's management or operations at the building. She also dismissed RFR's argument that the termination notice was invalid because it was sent to the company's current offices rather than a previous one listed in the lease agreement.
RFR had claimed they stopped paying rent due to Cooper Union's handling of campus protests over the Israel/Palestine conflict, which allegedly drove tenants away from the building. However, Schecter said this argument lacked merit and failed to cite any relevant case law.
The dispute centers on a ground lease that Cooper Union alleges RFR owes more than $21 million in missed rent payments for. Cooper Union sent representatives to take over property management of the Chrysler Building, but RFR refused access. The two sides had supposedly reached an agreement in May 2023 to amend the lease, with Cooper Union agreeing to lower monthly rental payments in exchange for a lump sum. However, RFR claims they couldn't find the capital to close the deal.
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