Ziel Feldman’s triplex penthouse on the Upper East Side is heading to foreclosure auction, scheduled to take place on November 17.
The foreclosure results from a dispute between Feldman and Bank of America, which claims the developer defaulted on a $19.2 million mortgage dating back to 2018.
Bank of America alleges that Feldman stopped paying his monthly property taxes in January 2021 and accumulated a $539,000 debt by September 2023. They also accuse him of pausing principal-and-interest payments starting in June 2022.
In October 2023, the bank sued Feldman and his wife to force a sale of the property. A judge ruled against them in August, stating they owed $23.2 million, as well as fees.
Feldman recently listed the triplex for $27.5 million, which works out to $4,435 per square foot. The 6,200-square-foot unit features expansive common areas, unique finishes, and 2,600 square feet of outdoor space. A 700-square-foot terrace on the second floor has an indoor-outdoor fireplace, summer kitchen, dining area and fire pit, and there’s also a sunroom and a 256-square-foot terrace on the third floor. The five-bedroom unit also has two home offices, one with built-in bookshelves. Feldman previously listed the penthouse in 2020 for $39 million, but it never sold.
The Marquand, where the penthouse is located, is a Beaux Arts mansion that was converted into 40 condominiums in 2013. Feldman’s company took ownership of the penthouse in 2018.
Feldman led HFZ as it rose to prominence in New York real estate in the 2010s. The firm was known for developing The XI in West Chelsea, one of the biggest luxury condo developments in Manhattan at the time. HFZ reached the upper echelons of New York real estate firms during that decade.
However, the project collapsed during the pandemic, and Feldman fired his second-in-command, Nir Meir, before the end of 2020. The project went into foreclosure the following summer. Construction paused during the pandemic.
Douglas Elliman’s Madeline Hult Elghanayan and Sabrina Saltiel have the listing for Feldman’s penthouse.
HFZ bought 76 11th Avenue, the site for the XI, for $870 million, then the most ever paid for land in New York City.
