Most of this is puffery with the main points of interest for us being:
"As part of the negotiations with the tenants and Mayor de Blasio,
Blackstone has committed to preserving 5,000 rent-stabilized units for
the next generation of middle-class residents. Under this deal, tenants
who are currently in rent-stabilized units will be protected by
rent-stabilization laws for as long as they reside in their apartment,
and they are further protected by the City's agreement, which restricts
the rent that can be charged on 5,000 units for the next 20-25 years,
giving the new owner little incentive to turn over the units. And that
timeframe could be extended down the line (as has happened many times in
Stuyvesant Town and Peter Cooper since the early 1970s), with new
agreements between the owners and the City or State."
Okay, we already know that rent-stabilization laws will protect rent-stabilized units, so the only "big deal" here seems to be a cap on the amount of rent that can be charged for these units--$3,200. I would assume that currently there are no such RS older apartments remotely close to that rent, and that most are in the 2K range and lower. RS protections in place already will save these apartments from excessive rents, unless, of course, RS protections evaporate or are lessened considerably, a near impossibility given the backlash that would occur from NYC tenants in general. I completely disregard, as we all should, the possibility of "new agreements between the owners and the City or State." Don't put into the bank what is not in your hand. I suspect we will be hearing quite a bit of such tenant friendly possibilities from those who are pushing the Blackstone deal.
"Blackstone has also agreed to cap rent increases on about 1,400
tenants affected by the Roberts case, whose below-market-rate units
could have been immediately brought to the market when the J-51 property
tax abatement expires in 2020."
Not sure what is being presented here. It seems as if the cap on rent for the Roberts case tenants comes into play in 2020 and then at 5%, which seems to me too high considering what these tenants are paying now and will be paying as the years go by. Does any rent cap exist for these tenants now and for the next 5 years? If not, it's going to be open season on these tenants for them to pay the "base rent" of their units rather than the "preferential rent" they may have been paying.
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