Chabad Loft, a popular Chabad congregation in Greenwich Village, is facing eviction from its 2,800-square-foot space at 10 E. Eighth Street following a lease dispute with its landlord. The congregation, which has operated as a hub for Jewish life for six years, claims it has two years remaining on its lease, while the landlord asserts the synagogue is a month-to-month tenant paying below market rate.
The landlord initiated eviction proceedings in Manhattan housing court in June. A "for-rent" sign has since appeared in the space's window, a move Rabbi Yakov Bankhalter, known as Rabbi Jerry Bankhalter, calls a tactic to pressure the congregation. The rabbi noted the space's unique characteristics, including a step-down entrance, 9-foot ceilings, and central pillars, make it a difficult sell for other commercial tenants.
The current monthly rent for the space, known as the "Kavanah Space," is $7,000. Rabbi Bankhalter's lawyer, Angelo Bisceglie, filed a lawsuit in Manhattan Supreme Court in July against the landlord, alleging promissory estoppel, breach of contract, fraud, deceit, and negligent misrepresentation. Bisceglie stated the rabbi was assured of remaining until 2028 and invested approximately $30,000 in improvements, including work on floors, walls, kitchen counters, and boiler parts.
Gregory Bougopoulos, the landlord's lawyer, stated that this is a disagreement over the legal status and terms of a commercial tenancy. He claims the tenant has paid below market rate for years and currently has no lease in effect. According to Bougopoulos, when the property owner sought to negotiate new terms for a market-rate tenancy, the tenant declined to engage in discussions, a claim the tenant disputes.
Rabbi Bankhalter has resided in the building with his family since before the COVID-19 pandemic. He signed the commercial lease in 2021 for the space formerly occupied by MNDFL mediation studio. The original two-year lease included a five-year option to renew, which would extend the tenancy until mid-2028. Both parties agree this option was never signed.
The congregation's relationship with the landlord reportedly soured in early 2024, following what Rabbi Bankhalter's legal complaint describes as an "apparent restructuring of the landlord entities and a refinancing of the building." The complaint also alleges an alarming phone call from the building's elderly owner, Michael Lynch Sr., who allegedly threatened the rabbi and told him to leave, stating he didn't care about the law and that the rabbi would have to deal with "Lynch rules."
Chabad Loft's "Kavanah Space" functions as a kosher cafe, lounge, and creative hub, hosting religious services and community events. Rabbi Bankhalter emphasized that the space has become a vital community center for many New Yorkers, particularly those without established family or community ties. He stated that finding an equivalent location on short notice would be extremely difficult, as the community has organically developed around the current site.