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One57 Condo Embroiled in Scandal Lists for $39 Million

The unit was set to be one of New York City’s largest foreclosures

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New York City's One57 building

Roberto Machado Noa/Getty Images
New York City's One57 building
Roberto Machado Noa/Getty Images

A full-floor condo at One57 on Manhattan’s Billionaire’s Row owned by Nigerian tycoonKola Aluko, who is accused of money laundering, has been listed for $39 million.

The four-bedroom unit in the super-tall tower was set for foreclosure in July—one of the largest the city has seen—after the oil-mogul failed to repay a $35.3 million mortgage to a Luxembourg-based lender, according to public records on PropertyShark.

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But according to reports, the foreclosure was suspended when a new creditor emerged saying it, too, was owed money from Mr. Aluko, for about $83 million worth of gasoline and jet fuel.

Control of the 10-room apartmenthas been transferred to an unidentified third party from Mr. Aluko and it is now being sold at a discount as an alternative to traditional foreclosure, according to a source familiar with the property.

Mr. Aluko, 47, under the entity One57 79 Inc., paid $50.9 million for the unit in 2014, city records show. The 6,240-square-foot apartment has floor-to-ceiling windows and views across the city. Mr. Aluko also owes a backlog of common charges, electric charges and late fees totalling more than $64,000, according to property records. The debt would not be passed on to a new owner.

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"This is a unique opportunity to become the owner of a full-floor luxury penthouse at a price far more attainable than the rest of the full-floor units in the building and the neighborhood," said listing broker Ali Jafri of Compass.

Investigations into alleged money-laundering crimes are reportedly underway in Europe and Mr. Aluko’s native Nigeria, where authorities have been attempting to seize his assets.

In July, U.S. federal officials filed a civil complaint seeking the forfeiture and recovery of approximately $144 million in assets from Mr. Aluko and his business partner, including the 57th Street condo and the Galactica Star, an $80 million yacht.

Mr. Aluko could not be reached for comment, and attorney Michael Lubben, who, according to reports, represented One57 79 Inc. in the foreclosure case, didn’t respond to requests for comment.