A Legal Dispute Over an Underground Swimming Pool
A wealthy couple in New York City has found themselves in a legal battle with their elderly neighbors over plans to construct an underground swimming pool in their $30 million home. Brittany Morgan, 37, and her husband Zachary Kurz, 39, are facing opposition from Ben and Barbara Cohen, who live next door on the Upper East Side.
Morgan is part of the family that owns Morgan Properties, a national real estate investment and management company, while Kurz runs a hedge fund. The couple purchased the double-wide townhouse in May 2023 and have submitted plans to renovate it extensively for an undisclosed amount. However, the Cohens argue that the construction would harm their property and health.
After months of negotiations without resolution, Morgan and Kurz filed a lawsuit in August seeking access to the neighboring property. According to local laws, any project that encroaches on adjacent land must have property protections, including a licensing agreement for access. In response, the Cohens filed a countersuit for ‘adverse possession,’ claiming that the construction would intrude on a 1-foot parcel of their land. Their lawyer argued that the excavation would worsen Barbara Cohen’s asthma and negatively impact their quality of life.
Initial Attempts at Communication
The initial discussions between the two families were not marked by hostility. An email sent by Morgan as part of her lawsuit shows a more amicable tone. It reads:
“It was so nice to get together at your beautiful home before and I want to give you an update on where we are and let you know the status thus far. We understand the project will require license agreements and would like to set a meeting with our team to walk through the project scope and associated work that affects your property so that all is handled smoothly and efficiently for all.”
Morgan also expressed excitement about becoming part of the 77th block, stating, “I am so looking forward to joining the 77th block with you as such wonderful neighbors!”
However, this friendly relationship did not last. The Cohens’ attorney, David Peraino, raised concerns about their “quality of life issues.” He wrote in an email dated April of this year:
“My client has both asthma and lung nodules. He is extremely concerned about the issue of dust caused by your client’s excavation and its effects on his health.”
Peraino added that Barbara Cohen would be present in the home during the construction, which could last nearly a full calendar year. He warned that the excavation through rock would make it impossible for her to enjoy her home peacefully.
Health and Property Concerns
Barbara Cohen, a retired dermatologist, and her husband, an ophthalmologist, have expressed fears about the impact of the construction on their health and property. Peraino cited potential damage to their wine collection, a trove of folk art consisting of 168 items, and a chandelier described as “extremely valuable” — one of only two made, with the other allegedly in the Lincoln Room of the White House.
Experts estimated that temporary storage for the art and wine could cost around $63,000, while cleaning costs could reach up to $204,000 if they were kept at home. The families also disagreed on the licensing fee, with some documents suggesting a range of $3,500 to $4,000, while the Cohens proposed $20,000 per month, increasing if the project extended beyond the timeline.
Project Details and Legal Arguments
Court records show conflicting timelines for the renovation. One document states the entire project would take 21 months, while another suggests a duration of three-and-a-half years. Peraino urged Morgan and Kurz to scale back the project, arguing that the desire for an underground swimming pool causes “enormous inconvenience” to the neighbors.
The plans indicate that the pool would require excavating up to 24 feet below the existing rear yard. The project would involve heavy machinery such as pile drilling rigs, conveyors, mini excavators, jackhammers, bobcats, and concrete trucks, all brought in on weekdays.
Kevin Grande, the lawyer representing Morgan and Kurz, called the Cohen’s demands “palpably unreasonable,” claiming the inconvenience was “trivial” and that a modest licensing fee of $500 per month was sufficient. Peraino, however, accused the couple of “blatantly disregarding” the health risks involved.
An air monitoring consultant stated that the current safety plan was “deficient.” Grande argued that without access, the project would not proceed or benefit the community. Peraino countered that an underground pool offers no community benefit and only serves one party at the expense of others.
Final Statements and Next Steps
In a statement to The New York Post, the Cohens said: “We are not opposed to reasonable construction where neighbors consider the impact of their projects on the ability of their neighbors to peacefully enjoy their homes. This project is excessive in scope given the neighbor’s desire to install a swimming pool in their basement, and has great impact on the integrity of our lives and our home.”
The Daily Mail has contacted lawyers for both parties for comment. The next hearing in the case is scheduled for next week in Manhattan.
