The One Group Sued Landlord Over Rent Dispute
The commercial tenant is fighting a lease termination after withholding rent for a retail space in Union Square.
Updated on Sept. 23, 2026 in Apartments
Live Poll
Should local commercial landlord-tenant disputes be settled through litigation rather than private negotiation?
The One Group has filed for an injunction in New York County Supreme Court to prevent its landlord, ABS Partners Real Estate, from terminating its lease at 200 Park Avenue South. The dispute centers on a $109,375 rent demand for September 2026.
Why it matters
This conflict highlights the complexities of commercial lease obligations when access to leased property is limited by construction issues. The outcome may clarify how maintenance delays impact financial responsibilities for tenants.
The dispute involves a 13,000-square-foot retail unit under a 10-year lease agreement signed in January 2025. The tenant claims a lease clause defers rent payments until June 2027.
The players
The One Group
A hospitality company based in Denver that operates retail and dining spaces across the country.
ABS Partners Real Estate
A real estate management firm that oversees commercial properties including 200 Park Avenue South.
The details
The conflict arose after the tenant, The One Group, alleged that construction debris rendered their 200 Park Avenue South retail space inaccessible until mid-August 2026. While the landlord, ABS Partners Real Estate, maintains the debris has been cleared, the tenant argues this delay justifies the withholding of September rent. The landlord issued a payment demand on September 11, 2026, leading the tenant to seek a court-ordered injunction to block the potential lease termination.
Timeline
January 2025: The One Group signed the 10-year lease agreement.
September 2025: The tenant took possession of the unit keys.
Mid-August 2026: Construction debris was cleared from the retail space.
September 11, 2026: The landlord issued a demand for rent payment.
June 2027: The date the tenant claims rent payments are contractually deferred until.
The Home Front
This dispute illustrates the high-stakes friction common in New York City commercial real estate when build-out timelines fail to align with lease commencement. It reflects a broader trend where tenants and landlords clash over the definition of space accessibility.
Commercial tenants and those managing multi-unit properties should always keep detailed documentation of site access dates and clear communication regarding construction delays. Consult with a licensed attorney before withholding rent payments to ensure all actions comply with your specific lease terms.
The takeaway
Disputes over lease terms are often decided by the specific wording regarding property accessibility and maintenance. Tenants should track all communications regarding site improvements and lease clauses to protect their occupancy rights during development projects.
Further reading
For more information on commercial and residential property management, see Apartments.
Source note: This article includes information reported by Bisnow.
Live Poll
Should local commercial landlord-tenant disputes be settled through litigation rather than private negotiation?
