2nd Ave. Showcase v. Ormonde Equities
NEW YORK COUNTY
Justice Debra James
Building owner Ormonde Equities moved to dismiss commercial tenant 2nd Avenue Showcase's complaint based on mootness. 2nd Avenue cross-moved for summary judgment, alleging it exercised its option under a lease to extend its term for an additional five years, and Ormonde failed to appoint an appraiser under the rider's provision to ascertain the applicable rent. A civil court order held defendant had an absolute right to extend the lease, and it was not terminated. Ormonde presented an appraiser's report on the market-value rent, claiming it satisfied the rider provision, thus the action was moot. Yet the court stated Ormonde's presentation established 2nd Avenue was entitled to the declaration it soughtthat Ormonde must send a notice of appointment of an appraiser, finding the civil court order determined the lease was in full force and effect. It found the order merely resolved the question of whether the lease terminated, but made no declaration regarding the parties' rights under the appraisal provision. Thus, the court summarily declared Ormonde must abide by the appraisal provision setting forth a specific procedure for setting the renewal rent under the lease.