'Blood feud': hedge fund billionaire Marc Rowan insists his $97 lobster salad joint isn't actually a restaurant — Hamptons neighbors want it gone

The property was the subject of years of legal disputes before a settlement was reached in 2019 allowing it to operate as a restaurant. Then town board members claimed they never saw a draft of a settlement. In May, a New York judge agreed, leaving the future of the establishment in question.

“Money and power should not exempt you from the same laws that we have to follow,” said Hannah Kirschner, who’s had a home nearby since 1994, told the Wall Street Journal.

The legal dispute

The historic property dates back to the 1920s when it operated as a rustic bait shop. It was expanded in the 1990s by its previous owner to include picnic benches and a larger deck.

According to the Journal, the expansion was met with complaints from residents and the East Hampton Zoning Board found that a full-scale restaurant was not permitted. It also prohibited any expansion without approval from the town.

Rowan’s lawyers once said he inherited a “blood feud," when he purchased the spot in 2014.

The private-equity billionaire originally had big plans for Druyea’s, but has spent years filing lawsuits and battling the local zoning board over issues ranging from septic systems to parking complaints. According to the Financial TImes, Rowan has sued East Hampton at least nine times.

When he first purchased the property he hosted a lunch with residents, who he anticipated would be hostile based on their feud with the previous owner. It did little to help his case. According to Journal, locals opposed his plans for development at every turn.

By 2019, however, it seemed things were cooling off. Rowan and a local lawyer reached a settlement that would allow Druyear’s to operate as a restaurant so long as the billionaire agreed to a few concessions. Then the town board members claimed they never adopted a formal resolution to approve it.

A judge agreed, saying the town hadn’t ratified the agreement. The spot has been allowed to operate while the case continues.

Rowan has continued to insist Druyea’s isn’t currently running as a restaurant — a necessity since it still hasn’t been zoned as one. It’s an interesting claim considering the spot features dining tables, menus and uniformed staff. Employees however, don’t provide table services since it isn’t allowed under current zoning restrictions.

Concern over changing landscapes

The legal disputes and frustrations don’t exist in a vacuum. According to WSJ, the drama is part of larger tension in the region over the arrival of the ultra wealthy and the locals’ desires to preserve the region. One resident WSJ spoke to said concern over development in the region isn’t solely about Rowan.

“It’s happening throughout the whole town,” Robert Pluhowski told WSJ. His family has summered next door to Duryea’s since the 1970s. “He’s our scapegoat: the hedge fund guy who bought the mom-and-pop shop.”