By Alberto Gilman
The Newburgh Art Supply Store and building at 5 Grand Street in the City of Newburgh is facing foreclosure. Owner and resident Michael Gabor is asking the city and community for help and support to get through the situation.
Newburgh Art Supply, a local art supply store and an important part of the city’s art scene, was opened in 2008 by Gerardo Castro and Michael Gabor, business and life partners. The building is not only the storefront, but also the residence of the two partners.
Over the past decade, Castro and Gabor have worked together to support and promote the arts community in the city. The Newburgh Open Studios tour, created by both partners, became an annual event in the fall, giving visitors the opportunity to come to Newburgh and see various artists in their spaces. The event also facilitated conversations about the artwork and the opportunity to purchase the works. The LightBulb Project and Art About Water were several arts initiatives led by Castro.
At the age of 56, Castro died of natural causes on March 17, 2024. Articles have been written about his work and memorial services have been held to honor Castro’s memory. The city and the larger arts community felt Castro’s death last spring was a great loss.
Gabor explained that he is currently having difficulty paying his property taxes due to the foreclosure and that the city is now unwilling to negotiate the situation with him. Payment plans have been agreed upon with the company and the city and a new agreement is then signed every two years. Since the city did not accept payments last year, it has started the foreclosure process.
A petition dated June 5, 2024 serves as a petition and writ of foreclosure. The petition concerns the “foreclosure of tax liens by in rem process pursuant to Article 11 of the Real Property Tax Law by the City of Newburgh.” The petition was signed by City Manager Todd Venning, who signed as the City’s Finance Director and Enforcement Officer.
By a motion dated August 1, 2024, a hearing was scheduled for Monday, August 26, in the Orange County Courthouse in Goshen to enter judgment that would result in the award of title and possession of the property.
A certification in support of the default judgment was signed and filed by Deputy Corporate Counsel Jeremy Kaufman on August 1. The document states that Gabor had entered into an Installment Payment Agreement (IPA) with the city, but it will default on or about August 1, 2023. The New York State Department of Taxation and Finance explains that those who are unable to pay their taxes in full may be eligible for an IPA. Under the IPA agreement, monthly payments are made for outstanding tax debts.
The confirmation document further states that Gabor was notified of the default several days later and a certificate of reinstatement was issued by Venning in his capacity as enforcement officer in October 2023. On June 10, 2024, a petition was filed and the confirmation alleges that Gabor did not respond to the petition and again states that Gabor is in default and the city should be granted relief.
The confirmation continues with several exhibits provided containing information on agreements, payment plans and other correspondence from the city with Gabor. The office of the corporate counsel was contacted but there was no response prior to publication.
Gabor said he contacted Kaufman about the situation, but no further information was given. A friend of Gabor’s, a real estate agent and an attorney Gabor wanted to hire contacted the city office and the situation was discussed in more detail.
“It’s interesting to me that the prosecutor wanted to talk to them about my situation rather than me,” Gabor said. “I’m really not up to speed on the specifics right now. I’ve been told what they might be, but I haven’t heard anything directly from the city.”
“I don’t know how much they need to fulfill their wishes, which would be helpful. That’s pretty much what I’m looking for,” Gabor continued. “Obviously, I need to raise money and I need to figure out what the amount is that I need to raise. All I’m looking for right now is an extension.”
A GoFundMe page has been created and is available at the following link: https://gofund.me/aaff4761.
