City Council Approves Next Step To Settle $131M Lawsuit

Long Beach NY

30 December, 2021

9:49 AM

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LONG BEACH, NY — The City Council took another step to settle a long-standing lawsuit with a developer, voting unanimously to approve a non-binding letter of intent to negotiate with Sinclair Haberman on Tuesday, the Long Beach Herald reports. According to the letter of intent, the city would pay Haberman $75 million and devise zoning regulations permitting the Manhattan developer to construct two 13 ½-story apartment buildings on Shore Road, between Monroe and Lincoln Boulevards. Haberman had filed a $131 million suit against the city with penalties that over the years had accrued to nearly $150 million. The case has been in litigation since 1987. The settlement would cut that suit in half, and the city plans to pay the $75 million with bonds, with debt services on them potentially reaching up to $6 million per year for 15 years, according to the Herald. The Herald also reported that council president John Bendo said that the new council, which was elected in November and will begin session at the start of 2022, "will have input on the formal agreement. What we're doing now is voting on a framework." The Herald previously reported that the council must vote to approve the settlement within the next three months.