Results tagged “stuyvesanttownpetercoopervillage”

As landlords and tenants await what happens next regarding the ruling that found Stuyvesant Town rents were wrongfully raised while its owner received tax breaks, the NY Times looks at how the real estate industry is nervous. The J-51 tax break program was "meant to encourage building renovations," and after significant renovations, landlords "are allowed to pass along a portion of the renovation costs to the tenants’ rent. As a result, landlords can raise rents that exceed or approach the $2,000 deregulation threshold." In the case of Stuyvesant Town, it's argued rents went up too much (the Observer has some examples). Right now, the ruling has been stayed, but a court must decide whether to let Stuy Town owner Tishman Speyer appeal; if upheld, the Times reports, "Industry officials say the decision could affect as many as 80,000 apartments in the city, trigger widespread defaults on loans, eliminate construction jobs and reduce property tax revenues for the city." Tenants' advocates, though, say the real estate industry is exaggerating.

There may be a small bit of comfort for residents who live in big apartment complexes on the brink of possible foreclosure in the NY Times. Some experts think the tenants Riverton Houses, Stuyvesant Town-Peter Cooper Village, and Savoy Park—where owners bet wrong about buying massive developments to make big returns—will be okay. For instance, regarding Riverton where foreclosure proceedings against the owner have begun, the Times reports, "If the lender sells the complex, or reaches a new agreement with the current landlord, the tenants at Riverton Houses would still enjoy the benefit of newly refurbished lobbies and elevators, as well as extensive landscaping." The downside? Riverton's ownership contests foreclosure and the buildings—and surrounding area—"languish" during a long court battle.