Exclusive | Nightmare condo board’s sweeping control has blocked a NYC HMart from ever opening: lawsuit

HMart, a popular Korean grocery chain, has been unable to open a planned location at 111 Hudson St. in Tribeca due to actions by the condominium board. After purchasing the retail space for approximately $8 million in 2022, HMart alleges the board swiftly amended building rules to grant residents sweeping control over the store’s operations, effectively derailing the project. These amendments imposed strict limitations on hours, ventilation, signage, employee access, and required board approval for nearly all aspects of the business, including construction plans and contractors.

HMart argues it “never would have purchased” the space had it known these restrictions would be imposed. The grocery chain filed two lawsuits against the condominium, its board, and individual unit owners, alleging interference with their ability to operate a lawful retail business and fraudulent misrepresentation by the building’s attorney. The board denies the allegations, claiming the amendment was valid and within their authority.

The dispute has left the retail space vacant and frustrated local residents who have been anticipating the HMart opening for years. The cases are ongoing, and the future of the HMart location remains uncertain.

(Source：New York Post)