L+M Development Partners is suing Santander Bank for refusing to accept a deed-in-lieu of foreclosure for a rent-regulated Harlem property at 320 St. Nicholas Avenue. The dispute stems from a 2019 loan by Signature Bank to convert four units into 12, but a 2023 law change made the project unviable. L+M halted work and offered the deed, but Santander, which took over the loan after Signature’s collapse, declined. Santander claims the loan is recourse, allowing it to pursue L+M’s assets, while L+M argues otherwise. The case highlights ongoing challenges in New York’s multifamily sector.
L+M Development Partners
