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Lawsuits Against Knotel Continue To Pile Up

Aayat AlibyAayat Ali
December 2, 2020
in News
Reading Time: 1 min read
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New York-based flexible office provider Knotel is seeing an increasing amount of eviction threats as more vendors file lawsuits to seek the millions in unpaid rent.

So far, Knotel’s landlords have over a dozen claims against the company, which is in the midst of massive layoffs and walking back on its real estate footprint.

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This has led to two evictions derived from lawsuits against Knotel, including PRD Realty Corp. who has taken the steps to remove Knotel from its 38 East 29th Street building after claiming the office firm owed nearly $50,000 in unpaid rent and taxes.

In October, Justin Management filed to kick Knotel out of its 115 West 30th Street building, claiming that Knotel owed upwards of $153,000.

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But the largest lawsuit came from an entity controlled by Claudio Del Vecchio, owner of Brooks Brothers, seeking a staggering $3 million from Knotel for its office above the company’s flagship location.

Knotel is facing 21 lawsuits in the New York State Supreme Court equating to $10 million in damages.

Like many other flexible workspace operators, Knotel was once a beloved up-and-coming flexible workplace organization thrown through a loop by the pandemic.

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Aayat Ali

Aayat Ali

Aayat is an editor for the Daily Digest based in Lexington, Kentucky. She has worked with local coworking spaces since August of 2017 and enjoys taking her firsthand knowledge to write about the fascinating, constantly evolving world of flexible workspaces.

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