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Con Ed Sues Luxury Condo Developer For Near Explosion

Lower East Side

Con Ed Steamed

Extell's One Manhattan Square luxury condo tower rising on the Lower East Side (image via Google Maps)

April 5, 2017

Residents of the low- to moderate-income Two Bridges neighborhood on the Lower East Side were already unhappy about the four luxury condo towers slated for their neighborhood, including the $2 billion, 800-unit luxury high-rise now climbing into the sky beside the Manhattan Bridge. Now those residents are downright steamed.

Con Edison has filed a lawsuit in Manhattan Supreme Court claiming Extell, the developer of the condo tower, nearly caused a major steam-main explosion while doing excavation work for the tower, the New York Post reports. The utility filed the suit “on behalf of its innocent rate-paying steam customers for the approximately $4 million that was spent to repair the damaged portion of the steam system and restore the steam system to a safe and reliable service” at 250 South St.

The suit says Extell was warned by its own engineers that its excavation work for the condo tower was perilously close to Con Ed’s underground network of steam pipes. The underground work caused two joints to leak, which could have led to a disastrous explosion.

A representative for Extell said, “We deny these allegations and it is under review.”

Meanwhile, Curbed reports, sales at the tower, known as One Manhattan Square, are brisk. Extell announced last month that it has closed on the sales of 100 units, including a $13 million duplex penthouse.

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