An Allentown property owner filed a judgment against his tenant, Blondies Cupcakes, and the restaurant’s owners for allegedly failing to pay $248,023 in unpaid rent and future rent, loan costs and other fees.
That amount, according to the judgment filed in Lehigh County Court of Common Pleas on Thursday, does not include additional costs and 1.5 percent interest from the date of the judgment onward.
Thomas Williams Sr., president and CEO of Cityline Construction of Allentown, filed the judgment against his tenant, Blondies Restaurant Group LLC, and its owners, Chad Gillespie and Lee Levine.
Blondies, based in Catasauqua, opened its Allentown location at 621 Hamilton St. in 2016.
According to the judgment, the lease began in December 2015 and the tenant failed to pay rent for November and December 2017 as well as January and February 2018.
“March has come and gone without payment, so it’s been five months,” said Matthew Mobilio, an attorney with Mobilio Law LLC in Allentown. He is representing Williams in the judgment.
The total amount will grow, Mobilio said.
“It is so large because there is a rent accumulation clause in the contract,” he said. “They were four months behind since this was filed.”
The principal sums for March through October 2018 rents equal $19,034.40, followed by additional rent amounts for five more years of the seven-year lease.
“I have not received any correspondence from any representatives of the company itself or its owners,” Mobilio said.
Levine and Gillespie were not available for comment.
Cityline renovated the interior of the space for the tenant and completed a fit-out. The company also gave a loan to Blondies and provided most if not all of the kitchen equipment, Mobilio said.
“That amount was supposed to be paid back in addition to the rent,” Mobilio said.
The total amount financed for the loan is $33,771. The first payment date began Nov. 1, 2016, with installment repayments expected over the course of 60 months, ending Oct. 1, 2021, according to a loan amortization schedule, which was an exhibit in the judgment.
Mobilio said he would give notice of the execution of the judgment. Once he executes the judgment and serves it to the tenant, the tenant has 30 days to pay the amount owed in full or face eviction.