Core is an exclusive, invitation-only club located in Manhattan, with annual membership fees ranging between $15,000 and $100,000. It has about 1,500 members, including notable figures like Stephen Schwarzman, the CEO of Blackstone Group, former Microsoft CTO Nathan Myhrvold, and Woody Johnson, owner of the New York Jets.
The late Jeffrey Epstein was a long-standing member and one of the club’s founding patrons.
Jenny and Dungeen Enterprises, a lesbian couple managing the club, find themselves facing scrutiny, particularly regarding their connections with individuals tied to child sex offenses due to recent revelations from Epstein’s documents.
Jenny Enterprises might be particularly miffed after allegedly providing conflicting sworn statements about the club’s finances in two separate cases related to COVID-19 fraud and unpaid rents.
Competing Claims
The club entered a 20-year agreement with 711 Fifth Avenue Principal Owner LLC, taking over four floors of the building in 2021 and again in 2023.
Since the takeover, the company has been tangled in a contentious legal dispute with real estate developer Michael Shvo. For instance, Core Club reportedly filed a lawsuit against Shvo for $600 million in 2024, claiming he failed to make promised improvements to properties, including the one at 711 Fifth Avenue. In return, Shvo accused Core Club of neglecting its lease obligations at San Francisco’s Transamerica Pyramid.
Last year, the landlord issued a termination notice to Core Club, asserting that the company had failed to pay over $3.6 million in rent by the stipulated deadline.
In reaction, Core Club made various demands, aiming to prevent eviction based on a Yellowstone injunction that prohibits landlords from terminating leases.
A judge from the New York County Commercial Division, in September, found that the club was “ready and able to cure the alleged default” without vacating the premises.
However, attorneys for the landlords pointed out apparent inconsistencies in the statements made by Jenny Enterprises and Core Club in court, particularly when compared to what they related to the U.S. Attorney’s Office during the COVID-19 relief fraud investigations.
In a court filing, the landlords’ lawyers claimed that Core Club secured an injunction through “materially misleading statements” regarding its financial status and has been habitually late in settling royalties and occupancy fees.
The complaint highlights a significant contradiction, stating that the defendants’ claims of financial stability contrasted sharply with their representations to both the court and the U.S. Attorney’s Office concerning their ability to cover over $3.5 million in past due rent.
The landlords are now arguing that, under these circumstances, the injunction should be revoked, and Core Club’s continued relief should depend on settling the outstanding rent.
In response to inquiries, Core Club’s attorney expressed confidence that the motion put forth by Shvo would not succeed, accusing him of trying to divert attention from his real estate issues. He maintained that Core is adhering to court orders.
Epstein’s Connections
The recent release of Epstein-related files by the Justice Department sheds light on his connections with Core Club and how his associations with offenders seemingly deepened post his 2008 guilty plea for soliciting sex from a minor.
Epstein not only regularly visited the club and its spa, but he also involved women from his network, which made an impression on Jenny Enterprises. Following his plea, he notably referred to one individual in his circles as a “very special person” who had impacted his life.
While the club’s management has sought to downplay Epstein’s involvement, stating he was just one of many members from 2003 to 2007, they acknowledge his continued patronage of their facilities.
Dungeen Enterprises reportedly provided various skin treatments for Epstein, highlighting the complicated legacy of his affiliations within such elite social circles.
The overarching narrative here sounds like quite a convoluted puzzle, fraught with misstatements and perhaps underlying tensions. There’s a lot more to this story, and it’ll be intriguing to see how it unfolds.
