T
he asking price for Harry Macklowe's three-acre estate in East Hampton has been reduced by $5.5 million, from $38 million to $32.5 million. However, the property remains uninhabitable due to outstanding zoning issues and unpaid fines. The developer was accused of illegal land clearing and unpermitted additions that endangered surrounding wetlands.

    Macklowe paid $10.4 million for the 5,500-square-foot home in 2017, which features four bedrooms and four and a half bathrooms. Designed by Futterman Architects, the property includes a waterfront gunite pool and is flanked by Georgica Pond.

    The drama surrounding the certificate of occupancy has not changed despite the price reduction. East Hampton Village officials have denied retroactive approval for changes at the property, citing unpermitted additions and unpaid fines. Macklowe's new marketing team claims there is a valid certificate of occupancy in place, but other brokers dispute this.

    Macklowe is currently embroiled in a lawsuit with Israel Discount Bank of New York over $20 million worth of Operating Partnership units pledged as collateral for $89.5 million in loans. The developer is allegedly in default on these loans, and the bank has initiated redemption proceedings.