Blackstone and Rialto Capital Advisors have filed for foreclosure on the McGraw-Hill Building, alleging that Deco Tower Associates defaulted on a $115 million mortgage and a $25 million construction loan. The lawsuit seeks $29 million plus interest. Deco Tower Associates had planned a residential conversion for the historic building at 330 West 42nd Street, but payments ceased in October following Signature Bank’s collapse. The foreclosure could disrupt these redevelopment plans. Blackstone continues to seek resolutions, while Rialto declined to comment. The venture holding Signature’s commercial real estate portfolio, including this loan, was awarded to Blackstone and other investors in December.
330 West 42nd Street
