National Realty Investment Advisors files for bankruptcy
National Realty Investment Advisors, a struggling developer with projects in Brooklyn, Florida, New Jersey and Philadelphia, has filed for bankruptcy.
The New Jersey-based company filed for Chapter 11 protection in federal court last week in Newark, according to filings. It listed assets worth between $50 million and $100 million, as well as liabilities of $500 billion to $1 billion.
The move comes as National Realty Investment Advisors is reportedly under investigation by the Federal Bureau of Investigation and the Securities and Exchange Commission, as well as financial regulators in New Jersey, Alabama and Illinois.
The independent manager overseeing the deal on behalf of the company, Brian Casey of property financial advisory firm The Casey Group, could not immediately be reached for comment.
Founded in 2016, the bankrupt builder focuses on developing and investing in condos, townhouses and multi-family homes and had $1.25 billion in assets under management in the second quarter of 2020, according to its LinkedIn page.
private enterprise website lists more than a dozen projects in Brooklyn in neighborhoods such as Cobble Hill, Park Slope and Crown Heights, as well as numerous developments beyond New York in various stages of completion.
In March last year, the FBI reportedly arrested portfolio manager Nick Salzano after an hours-long confrontation outside his New Jersey home. It was accused for faking a $25 million loan guarantee while trying to defraud a California woman out of $150,000, according to the publication Regulatory Compliance Watch.
The company came under further scrutiny in September when the Philadelphia Inquirer reported that authorities investigate it.
Company CEO Rey Grabato reportedly resigned six weeks ago.