MANHATTAN (CN) – Real estate mogul Sheldon Solow, who was ranked 605 on Forbes Magazine‘s list of billionaires, has been asked to repay a loan as high as some of his skyscrapers. Citibank asked Solow to return $67 million in a line of credit toward his controversial development of the East River waterfront near the United Nations.
Citibank says that in 2004 it extended a “$580,000,000 line of credit to Solow to enable him to purchase tracts of land along the East River of Manhattan, which he intended to develop.”
In April, AM New York reported that the project was green-lighted by two City Council subcommittees, but it has encountered resistance from local residents and community boards, who sued the city for allegedly approving the development against the wishes of the local community board.
A representative from Solow Building Co. did not immediately return a phone inquiry about how Citibank’s contract action would affect the East River development
Citibank is represented in New York County Court by Michael Luskin with Hughes, Hubbard and Reed.