Company: CLPR
Filing Date: 2025-05-14
Form Type: 8-K
Source: 0001437749-25-016899
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Company: Clipper Realty Inc.
Filing Date: 2025-05-14
Form: 8-K
Item: Item 8.01
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Item 8.01. Other Events.

This updates the disclosures in Clipper Realty Inc.’s (the “ Company”) quarterly report on Form 10-Q for the period ended March 31, 2025, filed on May 12, 2025, that on March 20, 2025, Wells Fargo Bank, National Association, as trustee for the benefit of the registered holders of certain pass-through certificates issued by trusts that are the holders of the promissory mortgage notes secured by the 141 Livingston Street property, referred to as “ Plaintiff,” filed a lawsuit against the Company’s subsidiary, 141 Livingston Owner LLC, as well as the Company and Clipper Realty L. P., the Company’s operating partnership subsidiary, as guarantors, in the Supreme Court of the State of New York (the “ Court”). Plaintiff demanded, among other things, that a receiver be appointed to manage the 141 Livingston Street property.

On May 13, 2025, the Court denied (i) the Plaintiff’s motion to appoint a receiver to manage the 141 Livingston Street property, “as Plaintiff’s likelihood of ultimately prevailing on its claims herein appears remote” and (ii) the Company’s cross motion to dismiss the lawsuit, “as Plaintiff’s contentions do raise a question of fact”. The Company believes that the claims set forth in the Plaintiff’s complaint are without merit and intends to continue to vigorously defend against this lawsuit.

SIGNATURES