How a Lone Tenant is Holding Up a $70 million Condo Deal in NYC
This article is behind the NY Times paywall and I am not a subscriber.
But, I was able to reading some of it on my smart phone, and apparently Manhattan renters that hold out on a building bought by a developer can make millions. The article said that one renter in the rental building that proceeded one of the the Central Park West billionaire towers got like $17 million and another top floor apartment in the same neighborhood with a Central park view. https://www.nytimes.com/2022/04/16/r...west-side.html |
|
Well, isn't that too fucking bad! Good for the tenant.
|
Quote:
This happens all the time in NYC. The dude is probably gonna get an eight figure payout, and the resulting condos will be even more lavish and outrageously priced, to compensate for the delays and sunk costs. |
Quote:
If you want to watch an absolutely worst case scenario, watch the last episode of the new Netflix show 'Worst Roommate Ever'. It's a pretty horrifying show in general, but the last episode the guy knew the tenant laws very well and screwed over numerous people. |
it's good because they can't push him around, they gotta pay him off.
no different that what needs to be done with the developers, inspectors, unions and construction companies. i swear people act like there was nothing there at some of these redevelopment sites. well of course there was. and nyc isnt losing any tax money here. its assured that at least 75% of the future tenants are already from the metro. this ain't west london. anyway, based on the media they probably have to pay him off even more now. boo hoo. maybe the developer will plan ahead better next time. |
A $30k buyout is downright insulting lol. The initial offer should've been 10x that at minimum.
Nevermind. It's not a rent-stabilized unit. Yeah, he would've been at the landlord's mercy without the pandemic. But the landlord could make this go away tomorrow by just writing a check. They have the power to end this whenever they want to. |
Quote:
The current building produces no income. The future building will produce massive income. If this guy holds out for a year or two, that's probably eight figures in lost municipal revenue right there. And for what? Even worse, the guy appears to have quit his job for this charade. Pre-pandemic, there wasn't a hold on evictions, but during the pandemic, unemployed New Yorkers can't be evicted. So this guy is refusing to work in the middle of a full employment/employee shortage, to preserve his apartment. The fact that this makes economic sense is public policy madness. |
Quote:
and so who cares if he holds out or how he does it? i would too. covid or no, hes playing by the rules. this happens quite often, if not as extreme, because more often developers handle it earlier and better. i refuse to take the developer side with this kind of issue, moreso because much more often its the owners and redevelopers harrassing and chasing the residents out via illegal tactics. publicity will probably save this guy from that. |
Quote:
Ozsu can only do this because of the pandemic renter-relief program, which was not intended for instances such as what we have here. Maybe developers more often than not screw over the little guy as you claim. But that doesn't appear to be what's happening in this case. |
Quote:
|
Quote:
True, Mr. Ozsu would normally not be entitled to such tenant protections as a renter of a non-stabilized apartment. And he is taking advantage of the rent relief program's protection to its maximum. And it's true that the world has plenty of unemployed (or not - https://www.complex.com/pop-culture/...rent-28-months) who take advantage of NY's liberal tenant protection laws and courts to their maximum. But it doesn't appear to be the case here, at least not to an extreme extent: 1. Mr. Ozsu was let go from his job due to the pandemic, and is now working. He is a long-time rent-paying resident of the building since 2006, and would have continued to pay the rent were it not for the pandemic shutdown in 2020. 2. Crawford mentions the fact that the city is losing property tax revenue from the potential condo development, all over one tenant holding out. But is that really an uneven tradeoff? Think about it. On the one hand, there is less revenue generated from the jobs created to design & construct this building, along with the tax revenue to be collected yearly from each condo. On the other hand, there would only be 11 condo units in this building, many of which would likely be investment properties or pied-a-terres for the wealthy. And what is it replacing? A rental building with 128 units, occupied by working class people who now need to search for new apartments in a city with short housing supply. So really, is the health of the city improved by the design/construction jobs, doorman/maintenance/building super jobs, and property tax revenue created by the new 11 story condo? Or would it be better with 128 apartment units being maintained within a city that has a housing shortage? You decide. |
Quote:
|
Quote:
And it's unlikely any of the units will be pied-a-terres or investment properties, not that it matters much for tax purposes. The Upper West Side condo market is overwhelmingly oriented towards locals. And people don't typically buy gigantic, four-five bedroom family-oriented pied-a-terres or investment properties. Quote:
|
Quote:
|
Quote:
These will be huge Upper West Side family units, but that typically means 2,000-3,000 square foot apartments. Maybe the baller penthouse floors will have 4,000 square foot apartments. Huge has a different meaning in NYC. But the tower is highly unlikely to have less than 30-40 units, even if a few might be combined. |
Quote:
|
Quote:
But the point is that the process is absurd and ridiculously inefficient, as it's driving up the cost of housing while reducing city revenues, for no public policy purpose. |
Quote:
At 150k square feet, definitely at least 30-40 units, even if extreme high end. |
Quote:
|
All times are GMT. The time now is 11:51 PM. |
Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2024, vBulletin Solutions, Inc.