JohnAKeith
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The Eiffel Tower was "temporary", too.
To where?
The NEW LOUIS store on the waterfront is now OPEN at Fan Pier ! April 21, 2010 - LOOK at those windows ! Walls of glass overlooking the water and Boston's HarborWalk surround many of the display areas at LOUIS - a pleasant visual experience while perusing around the store.
LinkWelcome to Louis, the new incarnation of Louis Boston, now settled into its permanent home on Fan Pier and open as of today.
Behind the Louis move
As retailer reopens on Fan Pier, owners in legal battle over Back Bay building
By Casey Ross, Globe Staff | April 27, 2010
In public, Debi Greenberg sounded like a brave urban pioneer making a beeline to the future. She was taking her famously high-end Newbury Street clothing store, LouisBoston, out of the stodgy old Back Bay and relocating to the edgy South Boston Waterfront, a district more a theory than an actual neighborhood yet.
But behind the scenes, leaving the Back Bay is proving not so easy. Greenberg has been involved in a messy legal fight over the control and value of the old LouisBoston property, an architectural masterpiece from 1862 that once housed the New England Museum of Natural History, and that sits on one of the most enviable pieces of real estate in the city.
According to a lawsuit filed earlier this month in Suffolk Superior Court, Greenberg is at war with her longtime co-owners of the Back Bay building ? Stephen Weiner, one of the region?s most prominent developers, and the daughters of a second co-owner and developer, the late Julian Cohen.
Greenberg is willing to sell her stake in the building ? for $8.7 million. But Weiner and the Cohens say that her interest is only worth $5 million and that she is trying to claim a ?grossly inflated?? price based on improperly calculated tax and sales numbers, according to the lawsuit.
Neither Weiner nor Greenberg would comment on their dispute, and the Cohens could not be reached for comment. But associates who know all three parties said the matter has fueled bitter resentment between Weiner and Greenberg.
LouisBoston, a retail icon in the city, moved from Boylston Street to Newbury in the late 1980s. The freestanding three-story building, designed in the French academic style, was a fitting monument to Louis?s high fashion. When Louis opened in its new location in 1989, the Globe called it a ?gem of a historic 1860s building surrounded by giants of brash ultramodern 1980s construction,?? and said its restored quality equaled that of ?the expensive clothes that grace its grand rooms.??
The move was engineered by Debi Greenberg?s father, Murray Pearlstein, who struck up a partnership with Weiner and Cohen to buy the building in 1995. The partnership purchased the building from New England Mutual Life Insurance Co. for $8.2 million, according to Suffolk County property records.
In 2003, Greenberg bought out her father and assumed control of LouisBoston. Her disenchantment with the Back Bay ? and with Weiner ? began almost immediately, according to associates of both executives.
While the store was at the epicenter of the city?s most exclusive shopping district, Greenberg was never enamored with the location, saying publicly that it represented an outdated notion of luxury and was being hemmed in by national chains.
?I want a home that is my own identity,?? Greenberg told the Globe in a 2008 interview. ?Here on Newbury Street, the stores are all similar. There isn?t anything new anymore. The building next door houses H&M and Victoria?s Secret. It makes this area feel less special and less unique.??
That viewpoint contrasted sharply with the business ethos of Weiner, whose development firm, SR Weiner & Associates, focused primarily on developing and managing New England shopping malls filled with the kind of chains Greenberg had decried in the Back Bay.
The fight over LouisBoston?s Back Bay building began in late 2009, when Greenberg?s move to leave Newbury triggered a monthslong tussle over the breakup of their partnership and control of building, according to the lawsuit.
Weiner and the Cohens allege in court papers that Greenberg sought to ?artificially engineer?? a dispute ? by introducing a third party buyer for the building last November ? that would break up the trio?s partnership as she prepared to move to the South Boston waterfront.
Weiner and the Cohens did not agree to the sale of the building for $15 million, but offered to buy Greenberg?s 49 percent stake for $5 million. But Greenberg says that her stake is worth $8.7 million, citing additional money Weiner and the Cohen family owed her for excess rent she paid during their partnership, according to the suit.
Weiner and the Cohens, however, say that Greenberg?s assertion of the excess rent is based on her own miscalculations. For example, the suit says, Greenberg inflated the amount she?s owed by improperly including insurance costs and by misreporting some sales figures.
Greenberg?s lawyer, David Hill, said yesterday that his client has not filed an answer to the complaint and declined to comment further. The Weiners and Cohens are asking the court to take one of two actions: force Greenberg to sell her stake in the building to them for $5 million, or, if the court deems some reimbursement for excess rent is owed, declare the amount asserted by Greenberg ?erroneous and overstated?? and establish the correct amount on which to base the sale.
As the case wends its way through the court, Greenberg last week opened the new LouisBoston ? now known as Louis ? at the Fan Pier development on the South Boston waterfront.
As Greenberg seeks to start over there, Weiner?s team is trying to pick up the pieces at the store?s former Newbury Street location. Executives with the building?s manager, W/S Development, have said it will take months to rehabilitate the historic building and find a high-end retailer to fill its vacant space.
Casey Ross can be reached at cross@globe.com.
I thought that, too, then thought it was a quickie pavilion job like Louis Boston, then realized the sad truth.I thought the same thing! Then I started paying attention and realized what I was looking at.