Glenville

Glenville industrial park sues would-be tenant that didn’t move in

The Glenville Business and Technology Park is shown in 2019.
PHOTOGRAPHER:

The Glenville Business and Technology Park is shown in 2019.

SCHENECTADY The operator of the Glenville Business and Technology Park is suing a company it alleges signed a lease for space in the park but hasn’t moved into it, and hasn’t paid for it.

Attorneys for the facility filed the complaint last month in state Supreme Court, Schenectady County. Named as defendants are Greenwood Industries, Inc., and its employee Scott Marengo.

They are seeking at least $175,000 in damages.

The court papers state and allege:

  • A commercial real estate broker reached out to the industrial park in October 2021 seeking space for Greenwood; the broker and Marengo, identified as Greenwood’s director of purchasing, visited the site and expressed interest in moving forward with a lease quickly.
  • When an existing tenant exercised right of first refusal on the space in question, the industrial park in November offered Greenwood space next door, which it accepted
  • Marengo executed the lease; the agreement ran Dec. 1, 2021, through Nov. 30, 2022; the space increased from 23,600 square feet to 28,800 square feet over the term; rent was $4.25 a square foot per year, for a total of $119,141.66.
  • Greenwood never moved in and did not make the monthly rent payments stipulated in the lease.
  • When Greenwood and its money were a no-show, the park reached out to the broker, who didn’t return emails from the industrial park; Greenwood’s chief financial officer in late December emailed a response, saying Marengo was not authorized to sign the lease on Greenwood’s behalf and Greenwood did not intend to move forward with any lease.
  • The industrial park said in reply that it had moved its own equipment out of the space covered by the lease Marengo signed; prepared the space for Greenwood; relocated one existing tenant out of the space; convinced a second tenant to terminate a month-to-month lease for the space; and prevented a third tenant from moving into the space; thus forgoing opportunities and incurring expenses.
  • On Feb. 7, the industrial park provided notice to Greenwood that it was in default; Greenwood did not respond.
  • The industrial park filed suit March 18.

The Glenville Business and Technology Park is owned by Schenectady-based Galesi Group. 

It is seeking damages of not less than $175,000; expenses incurred in repossessing and releasing the space; and attorneys’ fees. It is represented by E. Stewart Jones Hacker Murphy, a law firm with an office at Galesi’s Mohawk Harbor development.

Greenwood’s website describes it as one of the top ten commercial roofing and building envelope systems contractors in the United States, with headquarters in Worcester, Massachusetts, and nine other locations across the Northeast.

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