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New York Interest > Blog > Business > Executive Workspace sues Volkswagen for $4M over NYC EV charging station deal
Business

Executive Workspace sues Volkswagen for $4M over NYC EV charging station deal

NewYork Interest Team
Last updated: July 20, 2024 3:45 pm
NewYork Interest Team
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Executive Workspace sues Volkswagen for M over NYC EV charging station deal
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A Volkswagen subsidiary which pulled the plug on a deal to install electric vehicle charging stations in Midtown never intended to follow through on the plan, the building’s owners claim in a $4 million lawsuit.

The company, Electrify America, allegedly failed to apply for charging station permits it needed from the city’s Department of Buildings, then in May informed owner Executive Workspace it was terminating the lease it signed for the location at 1120 Avenue of the Americas.

Electrify America — which touts its plans to have approximately 1,800 total charging stations and 10,000 charges active or “under development” across the U.S. and Canada by 2026 — blamed economic reasons for ending the agreement.

Electrify America allegedly never intended to follow through with the charging station deal with Executive Workspace. AFP via Getty Images
The charging stations were part of a 10-year lease, court records show. AFP via Getty Images

But Executive Workspace said in the filing the charging stations were simply a ruse to help satisfy the requirements of a nearly $15 billion settlement the German automaker reached after its infamous 2015 scandal, when it was accused of falsifying emissions results for 11 million cars.

Boosting America’s zero-emission vehicle infrastructure was part of the mammoth settlement.

Electrify America and Volkswagen exploited the settlement, convincing Executive Workspace it was committed to installing the charging stations, according to court papers.

Executive Workspace, LLC owns Edison Properties and Elevated NY, and rents furnished office space in the Hippodrome. It signed a 10-year lease with Electrify America in November 2022.

“We don’t want another landlord to be treated the way my client has been,” Executive Workspace attorney Adam Leitman Bailey told The Post.

There are three Electrify America charging stations in the five boroughs: one in Elmhurst, Queens; another in Flushing and a third at JFK Airport.

The Hippodrome’s parking garage was supposed to feature four charging stations. Getty Images
Electrify America never applied for the permits necessary to build the charging stations, the building owner contends. AFP via Getty Images

Electrify America didn’t respond to messages seeking comment.

A lawyer for Volkswagen had no comment, but noted the carmaker wasn’t a party to the suit.

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