Don Peebles Roy Donahue Peebles the peebles corporation tawan davis daniel newhouse danile hoeg the peebles corproation peebles atlantic development PADC fraud scum trash bad business illegal-crooked-theif-theft-fraudulent-misrepresentation-Don-Peebles-RDP-PADC-Peebles-Katrina-Peebles
Original Title
Peebles Corporation _ Daniel Newhouse _ Tawan Davis
Don Peebles Roy Donahue Peebles the peebles corporation tawan davis daniel newhouse danile hoeg the peebles corproation peebles atlantic development PADC fraud scum trash bad business illegal-crooked-theif-theft-fraudulent-misrepresentation-Don-Peebles-RDP-PADC-Peebles-Katrina-Peebles
Don Peebles Roy Donahue Peebles the peebles corporation tawan davis daniel newhouse danile hoeg the peebles corproation peebles atlantic development PADC fraud scum trash bad business illegal-crooked-theif-theft-fraudulent-misrepresentation-Don-Peebles-RDP-PADC-Peebles-Katrina-Peebles
nanos Peebles Corporation |Danid Newhouse | Tawan Davis
Ex-Peebles employee presses on in fight
for compensation
Complaint raises questions over current CIO Tawan Davis’ former EDC
employment
June 23, 2015 04:19PM
By Tess Hofmann
346 Broadway in Tribeca (inset: Don Peebles, top, Tawan Davis, bottom)
UPDATED, June 24, 4:27 p.m.: A former top executive at the Peebles Corp. who says he was
stiffed by the developer on a profit-sharing agreement and later fired is appealing a judge's
decision to throw out his suit, But whether or not he is successful in his quest, his complaint raises
questions about current Peebles ClO Tawan Davis' route to his post at the company.
The complaint alleges that while Davis was working at the New York City Economic Development
Corporation, he favored the Peebles Corp. and gave the developer insider information on other
corporations’ bids for a major Tribeca site. For his part, Davis said the allegations are without
merit
In January, Daniel Newhouse, Peebles’ former director of development and investments, sued
the company and its CEO Don Peebles, claiming that he relocated to New York from Miami to help
Peebles set up a new operation, under the impression that he would be rewarded handsomely
with interest on developments that he was involved in
nip treroaldeal com 201810823ex-posblos-emplayoe-presses-or-r-fghtor-componsatnd weannie Pebles Crpraon | Dand Newnose| Taven Oois
The largest project was the acquisition and development of 346 Broadway in Tribeca, a 13-story
building Peebles acquired for $160 milion in 2013 on an RFP from New York City and is currently
developing into a hotel and condominiums with the Elad Group
Newhouse said he is owed at least $3 million — the equivalent of a 5 percent interest in the
project — pursuant to verbal and implied contracts. However, a New York Supreme Court judge
dismissed the suit in May, finding that though Newhouse may have been strung along, he never
had an executory contract.
On June 12, Newhouse appealed that decision, arguing that the court incorrectly found Peebles’
alleged promises were unenforceable, and also arguing that Peebles should be found personally
liable. (The judge found no reason to pierce the corporate veil, saying “The only person that owns
property anymore is Donald Trump. He's the only one that says it's mine; but everybody else
owns it through an onion.")
But a little-discussed portion of Newhouse's complaint regards Davis, formerly a vice president of
real estate transactions at the EDC who moved to Peebles Corp. as CIO in March 2014.
The complaint alleges that Davis developed a close social relationship with Peebles, visiting his
homes in Manhattan and Florida, and provided specific inside information on other corporations’
bids for 346 Broadway
“At one point during the negotiations, Davis communicated to Newhouse that another bidder had
offered more than $200 million for 346 Broadway,” the complaint states. “Ultimately, Davis advised
thatif they could raise the bid to $160 million, NYCEDC would steer the sale to Peebles, because
as Davis advised Newhouse, the City wanted the project developed by a minority developer.”
Davis did seek formal approval from the city's Conflicts of Interest Board before he started his new
position at the Peebles Corp. Based on the information he provided, including guarantees that he
would not work with Peebles on the 346 Broadway project, the board granted its preliminary
approval, according to a letter reviewed by The Real Deal,
The board advised Davis that the approval was contingent upon his keeping government
information private, and his promise that he “not use for private advantage or disclose any
confidential information gained from public service that is not available to the public.” Newhouse
implies that Davis violated these conditions, then parlayed his business relationship into a new
position at the private corporation.
And while Newhouse’s complaint was ultimately dismissed, the allegations conceming Davis were
not directly negated by the court, and were not addressed by the Peebles Corp. in its response to
the suit.
Davis told TRD that Newhouse’s claims are patently false. “I developed no close social
nip treroaldeal com 201810823ex-posblos-emplayoe-presses-or-r-fghtor-componsatnd aieannie Peles Corporation| Doni Newhouse] Tawan Davis
relationship with Peebles during the bid... | did not communicate that there was a $200 million
bidder for the asset. There was no $200 million bidder for the asset,” he said. "I shared with all the
development teams that [$160 milion] bid — what | believed to be the clearing price for the asset.
And that is standard industry practice.”
Davis also denied mentioning that the city would prefer a minority developer, saying this was not
part of the selection criteria.
“Finally, | would say that the idea that | parlayed my public service into this role is also false. | had
the honor of serving for two-and-a-half years in the City of New York and the Bloomberg
Administration. And like many others, when the administration was over, | returned to a twelve~
year career [as an investor],” he said.
Lowell Plotkin, General Counsel for Peebles Corp.., offered his take. “As the court made crystal
clear in granting our motion to dismiss — and by throwing out each and every one of Daniel
Newhouse’s claims, including those related to Tawan Davis — the allegations are entirely without
merit,” he told TRD in a statement Monday. “We are confident that any appeal will be swiftly and
firmly denied.”
In fact, while Newhouse’s entire suit was tossed, he did not make any claims specifically related to
Tawan Davis, and the judge, Justice Jefirey Oing, did not directly address his statements about
Davis’ conduct. Oing focused on the contractual claims, and did not mention the background
information on Davis, who has not formally been accused of any wrongdoing
A source told TRD that concems about Davis’ behavior were raised in a May 15 letter to the
Conflicts of Interest Board. Wayne Hawley, the Deputy Executive Director and General Counsel of
the board said that the case is private, and declined to comment further.
nip treroaldeal com 201810823ex-posblos-emplayoe-presses-or-r-fghtor-componsatnd wenanos Peebles Corporation | Daniel Newhouse | Tawan Davis
nip treroaldeal com 201810823ex-posblos-emplayoe-presses-or-r-fghtor-componsatnd
RDP Development Corp. v. Schwartz - 1995 - District of Columbia Court of Appeals Decisions - District of Columbia Case Law - District of Columbia Law - U.S