Nothing gouda can stay: This nation’s premiere fromage purveyor has been rendered insolvent.
Alleva Dairy, the Little Italy deli that claims to be the country’s oldest, has filed for Chapter 11 bankruptcy.
Despite the enormous setback, the cheddar seller plans to keep on slinging brie even as it teeters on the brink.
“After months of serious attempts to pay the landlord in full, Alleva Dairy and the landlord at 188 Grand Street in New [York] were unable to reach an agreement to pay off the back rent,” reads a release sent out Thursday by the dairy vendor, which was first established in 1892. “In addition, the landlord refused to honor the remainder of Alleva’s 10-year lease. As a result, Alleva Dairy, Inc has filed for Chapter 11 Bankruptcy protection.”
The back rent in question accrued during the COVID-19 pandemic, during which time the Manhattan institution failed to pay a total $509,106 of its $23,756 a month rent, The Post previously reported. Additionally difficult for the mozzarella merchant during the coronavirus was the fact that many of the neighborhood eateries, which spent lots of cheddar on its cheeses, were closed for much of the pandemic — a huge financial loss for the store.
Alleva’s landlord, Jerome G. Stabile III Realty, filed a suit against the ricotta dealer in Manhattan Supreme Court this April, asking for “permission to evict you from the subject premise if you do not pay the money judgment.”
At a subsequent court hearing, owner Karen King and her lawyer offered not only to immediately put up $250,000 but to also pay off the lease’s duration. But the proposal was rejected — the landlord’s lawyer refused, according to King’s attorney.
“Today is one of the saddest days in the 130-year history of this illustrious Little Italy landmark,” King mourned in a press release announcing both the bankruptcy and the shop’s decision to remain open. “We will continue to strive to keep Alleva Dairy alive.”