American Express reportedly can't hold events at the 'haunted' Hamptons mansion it planned to rent for the summer

Corcoran Real EstateGrey Gardens was made famous as the residence of Jackie Kennedy Onassis' aunt and cousin, Big Edie and Little Edie Bouvier Beale in the documentary "Grey Gardens."American Express may not be able to go through with the plans it had for one of the most infamous properties in the Hamptons this summer.

AmEx had planned to rent the East Hampton house known as "Grey Gardens - which appeared in the famous documentary of the same name - to host events this summer. The house has been beautified since the film, and it's now on the market for both rental and purchase by its current owner, journalist Sally Quin.

But now East Hampton officials are pumping the brakes on that plan.

"It is a residence and can not be used for commercial purposes," village administrator Rebecca Hansen told the New York Post.

Local officials have sent a cease-and-desist letter to American Express, saying that no commercial events are permitted to happen at the house. Grey Gardens lies in a residential zone and is thus covered by a local code that states that "no commercial uses of land are permitted in any residential district," according to the Post.

The first event, a Jennifer Fisher jewelry sale, has already been moved elsewhere.

Grey Gardens is still on the market for just shy of $18 million.

American Express did not immediately respond to Business Insider's request for comment.

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