Salvation Army Sued Over Use of Hotel as Shelter

The Chronicle of Philanthropy reports that NewYork’s Court of Appeals, the state’s highest court, heard oral argumentsyesterday in a case in which the owner of a New York City hotel, the CarltonHouse Hotel in Queens, seeks damages from the Salvation Army to the tune of $200million.  The claim reportedly is that thebuilding was damaged when the charity used it as a homeless shelter.  According to the story, the property owner, aholding company, has already received $10 million as a lease termination feefrom the city, which negotiated the lease. The Salvation Army argues that, under the lease, New York City’s Departmentof Homeless Services was “the exclusive source of funds” for the property’s useas a shelter.   For additionalcoverage, see this entry posted on The Real Deal.

JRB