The founders of Core Club, an exclusive members’ club based in Manhattan, are engaged in a legal dispute with an Italian distressed debt firm over control of the club’s premises in Milan, seven years after beginning membership sales in the city. Core Club, initially backed by convicted sex offender Jeffrey Epstein among others, filed a lawsuit this year in Italy against Reinvest, accusing the investment firm of bad faith dealings related to the Milan property.
Core Club’s Milan venture was launched by Jennie and Dangene Enterprise, which secured a 40-year lease on a 4,000-square-meter building near the luxury shopping street Via Monte Napoleone. The club began admitting members in 2019, selling memberships to roughly 700 wealthy Italians and expatriates, with entry fees ranging from €4,000 to €50,000. However, some prospective members have since initiated legal action seeking refunds for payments made, a claim the founders contest as they continue to assert plans to open the facility.
The renovation costs of the Milan site escalated to more than €25 million, particularly following the pandemic, causing the project to falter. In 2025, the Enterprises turned to Reinvest, an Italian specialist in non-performing loans, transferring ownership of the company holding the Milan lease for a nominal sum of €1, according to company records. In return, Reinvest repaid over €7.5 million of the founders’ debt and was expected to complete the site’s refurbishment.
Under the agreement, Core Club was to sublease the Milan property from Reinvest for €4.5 million annually. However, Reinvest contends that Core Club failed to provide required financial guarantees to secure the lease arrangement. Jennie Enterprise described the transaction as a “clear and structured commercial exchange,” whereby Reinvest would gain control of a valuable leasehold asset while Core would receive a fully developed club.
After acquiring the company, Reinvest converted it into a securitisation vehicle designed to hold assets under a specific legal framework to generate returns for investors. The firm also altered the company’s registered name to remove references to “Core” and revised its corporate purpose to focus on commercial real estate activities. Reinvest maintains that it covered Core’s debt and averted its default on the lease, investing tens of millions of euros in refurbishment costs.
Meanwhile, the Enterprises have faced legal challenges concerning funding commitments with their New York landlord; their claims were dismissed by a New York judge earlier this year. Financial filings indicate that Core Club’s Italian subsidiary experienced a steep decline in financial health in 2024, with cash reserves dropping below €3,000 and liabilities reaching €2.53 million. The Italian daily Corriere della Sera previously reported on the club’s financial difficulties.
Despite these setbacks, Jennie Enterprise emphasized that the project’s future remains unchanged. She noted that new investors are prepared to advance the venture, with an anticipated pre-opening location for members planned for 2027.