A good chunk of the Allentown Waterfront, including the former Neuweiler Brewery and American Atelier Building, is owned by Urban Residential Properties. The American Atelier, by the way, recently went up in flames.
Urban Residential Properties is itself mostly owned (89%) by the Irrevocable Ruth Rachel Green Trust established for the benefit of Alex Wright. Green also owns 10% in an individual capacity, with the remaining 1% owned by Wright.
Palumbo was a Trustee but was removed in March. Maneri was brought in Palumbo, ostensibly to help fund the project.
According to a very lengthy Accounting Action filed by the Trust, both Palumbo and Maneri are accused of diverting at least $21 million from an open-ended mortgage for other projects. This includes over $12.5 million from the Neuweiler Lofts, $4.5 million in transfers to some outfit called Wonder Q and $5.4 million in unauthorized loans to Maneri.
In the meantime, the Neuweiler Lofts project was behind schedule, over budget, with shoddy work and stalled construction.
This action has been brought by Kevin T Fogerty, Esq. It certainly has all the earmarks of fraud.
Are the allentown council people related to the norco and wilson council people.
ReplyDeleteGood reporting Bernie, thank you
ReplyDeleteFYI: "The Waterfront" is Mark Jaindl's Development & I'm certain he wouldn't be in the same room with those guys.
ReplyDeleteI guess now that the American Atelier has been burned and razed, they don’t need those parking concessions from the city, right?
ReplyDeleteAsked another way, now that Allentown City Council likely bent over backwards for whatever a developer proposed, will they be restoring the original zoning now that the American Atelier building is gone (at least for that property)?
What's the case number?
ReplyDelete2026-OC-1015
DeleteTo my understanding the action was filed and withdrawn the same day. I think it was just a power play from an investor. John p. Has met with the area civic groups and has heard our concerns on many area issues. I would think if there were any merits to the case it would be a criminal investigation.
DeleteThis was no power play - each of the items noted was committed. Withdrawing of the lawsuit had nothing to do with a “power play” and everything to do with getting off a loan which has been fraudulently manipulated. There may be a criminal investigation in the offing but you will not know until the investigators are ready to make arrests. Cover ups are continuing including the burning of 249 N Front Street. Mr. Spang, have you seen the phase 2 on 249 N Front St? If you had you would know that the fire at 249 N Front St was no accident and I can assure you nothing will be built on that site until it is remediated.
DeleteI can assure you the action was no “power play” but was withdrawn only to get off a loan fraudulently manipulated - a
DeleteI believe these rumors. Something feels off with these people and something was off with that fire.
DeleteThey are insane to be building that on the Allentown waterfront. It’s a dump! There is no way that makes financial sense. They are in money trouble now and they are all turning on each other.
ReplyDeleteDo they know Joe Reibman? He is an equally stupid real estate guy
ReplyDeleteI heard a rumor that the water was turned off at the American Altelier building. So the sprinkler system couldn’t work. Seems odd.
ReplyDeleteYou posted this story Sunday night/Monday morning. Thus, the suit was likely filed Friday, August 7 or earlier. Days later (Tuesday afternoon), looking at local media regarding this story: LV Public Media - nothing found (no postings of any kind seen after Aug 7); WFMZ - nothing found; Morning Call - nothing found. The people paid to tell stories don’t seem to be talking about this. Are you gaslighting, or are others covering the light under a basket, or what?
ReplyDeleteAll true just hidden
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