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One of LI’s poshest towns must pay $19M for blocking synagogue project — ending decades-long battle

The rabbi and his group wanted to build the synagogue on 9 acres of his property, but the project got tied up in federal court when the uber-wealthy town refused to allow the development, and the o…

Published April 5, 2026, 7:25 PM
Updated April 5, 2026, 7:40 PM3.4K
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One of LI’s poshest towns must pay $19M for blocking synagogue project — ending decades-long battle

One of Long Island’s poshest towns must pay a local Jewish congregation $19 million after spending years blocking construction of a synagogue there.

Old Westbury agreed to the whopping payout to settle an 18-year-old lawsuit involving Rabbi Aaron Konikov and the Lubavitch of Old Westbury over a proposed Chabad-Lubavitch temple on Glen Cove Road.

The rabbi and his group wanted to build the synagogue on 9 acres of his property, but the project got tied up in federal court when the uber-wealthy town refused to allow the development, and the other side sued.

Outdoor menorah in front of a brick building.
The village of Old Westbury must pay $19 million to a rabbi and his congregation over their stalled plans for a new synagogue. Google Maps

US District Judge Gary Brown signed off on the settlement in a March 20 consent decree.

“This consent decree may not be modified, changed or amended except in writing signed by each of the parties approved by the court,” Brown wrote. “Each party participated fully in the negotiation and drafting of the terms of this decree, and any ambiguity shall not be construed against any party.”

The dispute dates to 1999, when the Lubavitch group planned a dedication ceremony for a new synagogue on the property owned by Konikov, according to Newsday.

Old Westbury officials served notice that the temple would violate village law and ultimately passed a regulation in March 2001 that limited construction of houses of worship.

Rabbi Aaron Konikov blowing a shofar.
Rabbi Aaron Konikov first planned to break ground on the Chabad Lubavitch synagogue in 1999. Facebook/Chabad of Roslyn

In part , the new law required houses of worship to be erected on properties of at least 12 acres, while the Chabad-Lubavitch property was 9 acres, according to the outlet.

Village officials also claimed in court papers that the project’s application for Building Department permits was improperly filed and cited the impact the temple would have on traffic, parking and noise in the neighborhood as reasons to deny it.

Brown finally ordered the two sides to begin negotiations to settle the dispute last year, which led to the deal — giving Chabad-Lubavitch until Jan. 15 to apply for a special-use permit for the project.

Preliminary plans call for a 20,875-square-foot building with a parking lot, Newsday said.

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