Bauhouse Group’s controversial Sutton Place projected 900 foot-high tower which is in foreclosure, is now headed to bankruptcy. The developer put the project in Chapter 11 this week in an effort to avoid losing the property to creditors. The project was seen to be largely out of character with the low rise buildings that are in the Sutton place enclave. Attempts to refinance were not successful and as result the creditors are moving to take control of the property.
The luxury Manhattan real estate market has a glut of inventory and sales have slowed.