$10.5M Judgment Sends 20-Unit East Harlem Building to Oct. 6 Auction
The plaintiff is SIG RCRS D MF 2023 Venture LLC, one of the ventures that took over Signature Bank loans after the 2023 failure.
The owner’s lender is taking 318-322 East 126th Street in East Harlem to auction on October 6, 2026, on a judgment of $10,548,529.53, more than the $7,550,000 the owner paid for the 20-unit building in 2022.
Why it matters
The case is Index No. 850136/2025 in New York State Supreme Court, New York County. The plaintiff is SIG RCRS D MF 2023 VENTURE LLC and the defendant is 318-322 EAST 126 LLC, along with others, according to the legal notice first published in the Amsterdam News on September 10. The building is Manhattan block 1802, lot 40.
The plaintiff’s name traces to Signature Bank. After the bank failed in March 2023, the FDIC sold minority stakes in ventures that hold the receivership’s rent-stabilized and rent-controlled multifamily loans, according to the FDIC. The ACRIS assignment, dated December 15, 2023, hands Signature’s interests on this lot to the “D” venture. Which venture holds which loan, and who owns the other 20 percent of the “D” entity, we did not confirm. The notice does not name a principal behind the owner LLC, and neither does the record, so we describe it only as the building’s owner.
The numbers
The owner bought the five-story building on August 8, 2022 for $7,550,000, or $377,500 a unit across 20 apartments, and signed a $5,662,500 agreement with Signature Bank that day. The judgment is 1.4 times the purchase price and about $527,000 a unit. It is also $4.9 million above the $5.66 million loan amount, and the record we pulled does not itemize that gap. Judgments in foreclosure cases usually add accrued interest, fees and other charges to principal, but we have not seen the referee’s computation.
The seller in 2022 had paid $2,231,000 in 2011, so the building sold for 3.4 times its earlier price. City records list it as built in 1900, building class C4, and registered with HPD as of March 2026. We did not verify its rent-stabilization status or how many units are occupied.
We could not confirm the lis pendens or any other 2025 or 2026 filings, because the public mirror of ACRIS we searched lags recent recordings. The notice and case number are the primary lead.
What’s next
The sale is set for October 6. Watch New York County court records for an adjournment, a bankruptcy filing or a settlement before then, and ACRIS for a referee’s deed afterward, which would show the buyer and price. If the venture bids in its own judgment, the building could stay with the FDIC-backed lender. For more citywide distress and deal coverage, see our New York market page.
On the record
What we checked ourselves, and where you can check it too.
- Public recordPulled the ACRIS record for Manhattan block 1802 lot 40 back to 2005. The current owner, 318-322 EAST 126 LLC, bought the building on August 8, 2022 for $7,550,000 and signed a $5,662,500 loan agreement with Signature Bank the same day. The judgment now being enforced, $10,548,529.53, is 1.4 times that purchase price and $4.9 million above the recorded loan amount; the record we pulled does not itemize the gap, which would normally hold interest, fees and other charges.View the record on a836-acris.nyc.gov
- Public recordACRIS shows an assignment and a companion assignment of leases and rents, dated December 15, 2023 and recorded September 20, 2024, moving Signature Bank's interests on this lot from Signature Bridge Bank and the FDIC to SIG RCRS D MF 2023 VENTURE LLC. That is the same name as the plaintiff in the foreclosure. The filings do not say which of the lot's loan documents they cover.View the record on a836-acris.nyc.gov
- Public recordTraced the sale chain: the seller in 2022, 318-324 126TH LLC, had bought the building for $2,231,000 in April 2011, so the 2022 price was 3.4 times the 2011 price. Since 2005 the lot has moved through mortgages held by Amalgamated Bank, Hudson Valley Bank, Capital One, Signature Bank, Customers Bank, Peapack-Gladstone Bank and New Commercial Bank before the 2022 Signature loan.View the record on a836-acris.nyc.gov
- Public recordChecked the city's PLUTO file: 20 residential units, five floors, 8,615 square feet, built 1900, building class C4. HPD's registration file lists the building as registered, last registered March 5, 2026. At the $7.55M price that is $377,500 a unit; the judgment works out to about $527,000 a unit.View the record on data.cityofnewyork.us
Sources
- NYC ACRIS, DocumentDetail 2022081100152001Deed, 318-324 126TH LLC to 318-322 EAST 126 LLC, $7,550,000, dated August 8, 2022, recorded August 12, 2022, Manhattan block 1802 lot 40
- NYC ACRIS, DocumentDetail 2022081100152005Agreement, 318-322 EAST 126 LLC and SIGNATURE BANK, $5,662,500, dated August 8, 2022, recorded August 12, 2022
- NYC ACRIS, DocumentDetail 2024090200019028Assignment, Signature Bridge Bank, Signature Bank and FDIC to SIG RCRS D MF 2023 VENTURE LLC, dated December 15, 2023, recorded September 20, 2024
- NYC ACRIS, DocumentDetail 2011040600752002Deed, 318 E. 126 ST., L.L.C. to 318-324 126TH LLC, $2,231,000, dated April 4, 2011
- NYC Open Data, PLUTO (64uk-42ks)BBL 1018020040: 20 residential units, built 1900, building class C4, five floors, owner of record 318-322 EAST 126 LLC
- FDIC press release on the Signature multifamily venture salesFDIC sells 20 percent equity interest in an entity holding rent-stabilized multifamily loans from the Signature Bank receivership