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Wednesday, October 21, 2015

Rent Prediction Shocker!!!

Okay, I debated whether to post this, but we should know what could be ahead of us, at least for market rate paying renters. This analyst could be full of it, and I suspect/hope so, but....

http://mobile.nytimes.com/2015/10/21/nyregion/gains-for-new-york-and-a-real-estate-behemoth-in-the-stuyvesant-town-sale.html

Of Blackstone:

>>“They’re not a charity,” said Dave Bragg, a real estate analyst at Green Street Advisors. “They’re one of the savviest dealmakers in all of real estate. It’s interesting to see that they think they’ve got a great deal, while the city is celebrating this as a great deal for affordable housing.”

Mr. Bragg expects that Blackstone will seek to cut managerial expenses. And with a seemingly unquenchable thirst for housing, rents are destined to rise for more than 50 percent of the apartments that are already going for market rents, at $4,000 to $7,000 a month.<<

The possibility of something like this NEEDS TO BE SETTLED AT THE BARUCH MEETING.

All of us tenants need to fight for our neighbors, every legitimate long-term renter in this community!

34 comments:

Anonymous said...

I hope they don't cut back on the maintenance staff and groundskeepers (apart from the arboricidists), but the more of those fools in the management office that go, the better. How come we now have all these "property managers" who never return calls or emails and are bloody useless, when Bill Potter used to do the job (and do it very well) almost single-handedly? It's a case of "Too many Chiefs and not enough Indians."

Anonymous said...

We tried to get the market rate and the rent stabilized together but the market rate refused to stop the rent overcharges and frauds last year. They cared only about themselves and kind of did this to themselves. There is nothing we can do now. It is too late.

Anonymous said...

"and the tenants that the complex continue to be a home for nurses, teachers and firefighters,"

Again, this is fucking fantasy. It's now a dorm dump. Who writes this shit?

Anonymous said...

What in the world are you talking about?

Atomic Man said...

No pity for market raters. They are vultures feeding on the carcass of affordable housing. How could anyone with a conscience see what Met, then TS & CW, were doing and still walk into the leasing office with fat checkbook in hand?

Now they're complaining that it's unaffordable? Hey, you get in bed with the devil, don't be surprised if you get f*cked.

Anonymous said...

This guy sounds like Wall Street during the Dot Com boom. Who's going to pay $7,000 month to live in a place where they're cutting maintenance staff? When folks are paying that much they expect white glove service which certainly doesn't exist here. He also sounds like Rob Spyer who thought he could turn a chevy into a cadillac...

Anonymous said...

1. MCIs- looking around the property I see totally needless construction being done like ripping out concrete around the chess tables and the small fountain in Peter Cooper (the concrete was put in only a few years ago) and replacing the concrete with cheap stone... Is this part of a strategy to try to raise the rents through MCIs? Someone should ask at the meeting.

2. Have the owners collected money from hurricane sandy insurers (there was a lawsuit: http://www.law360.com/articles/625817/nyc-apartment-owners-sue-for-95m-in-sandy-claims) to fund construction projects that will turn into future applications for MCIs?

3. Will the owners do ANYTHING about the constant smell of GAS seeping through the ground at 601 East 20th street? Does this pose an imminent safety hazard? (We already experienced an explosion in the aftermath of hurricane sandy not far away.)

4. Are the owners taking adequate safety precautions related to all the many construction projects constantly taking place over our heads?

5. Will or should RS tenants have their rents LOWERED if they meet the low income requirements of the new "affordable" housing and their stabilized rent is already higher than these targets?

Stuy Town Reporter said...

>>"and the tenants that the complex continue to be a home for nurses, teachers and firefighters,"

Again, this is fucking fantasy. It's now a dorm dump. Who writes this shit?<<

Agreed. Once true, but no more, unfortunately.

Stuy Town Reporter said...

>>What in the world are you talking about?<<

I assume this is being asked of Anon 4:26pm.

Anonymous said...

Yes.

And to 6:20 -- your ire toward market raters is terribly misguided.

Anonymous said...

I don't understand the TA. The TA did not expose and oppose the dorms that raised the property price out of reach for a tenant purchase. The TA did hunt and accuse RS tenants on their golub witch hunts to help evict RS and turn affordable apartments into market rate to again push the property out of reach for a tenant bid. Everything the TA did was to eliminate a tenant bid possibility. Why?

Anonymous said...

9:38 pm: when did the TA participate in a witch hunt to get RS tenants out? Are you sober when you are writing your posts? The TA and Dan Garodnick went all out to help RS tenants who got Golub notices.

Anonymous said...

I read comments all last year on STR from people trying to help the entire community on every which way we are overcharged, the market rate and the rent stabilized, with a lot of times saying we all are getting the short end of the stick and ripped off. If that is what 4:26 is referring to, then the market rate can read last year blog comments.

Problem is the politicians are controlling the investigators who are supposed to stop the landlord crimes and stopping them from investigating PCV and ST rents and renovation charges. Maybe that is why 4:26 is saying it is too late. The politicians already made a deal with the developers.

We blame Schumer for it all. He knows what the REBNY is doing to New Yorkers and he has the power to protect New Yorkers but he is not protecting New Yorkers. He is helping the REBNY. He has earned ire and probably Atomic Man has reason for his ire too if his market rate neighbors are like the ones in our building.

The market rate neighbors in our building hate the rent stabilized, they are childish, mean and rude to them. They act like they can say and do anything, plain mean. It is embarrassing and we want the rent stabilized to stand up for themselves and push back or file charges. The things we hear the market rate say about the rent stabilized and do to the rent stabilized goes past the point of out of line. It is criminal how the market rate treat the rent stabilized in our building.



Anonymous said...

The problem is we the public let the lawmakers get away with it the first time around without prosecuting any of the Wall Street and Real Estate executives that caused the crash so they think they can keep doing it. The incumbents are the problem. At this point I don't care who is running against them, I am voting against the incumbent straight down the line. Whoever the challenger is they can't be worse then these dirty incumbents. The way they do business is dirty.

Anonymous said...

Given the two options, Dan's condo conversion with Brookfield or Blackstone rental, the latter is the better option. But we can do better still. Either a better ownership plan or a restoration of the affordability rentals before the illegal changes a la Tishman Speyer plan.

Stuy Town Reporter said...

>>The market rate neighbors in our building hate the rent stabilized, they are childish, mean and rude to them. They act like they can say and do anything, plain mean. It is embarrassing and we want the rent stabilized to stand up for themselves and push back or file charges. The things we hear the market rate say about the rent stabilized and do to the rent stabilized goes past the point of out of line. It is criminal how the market rate treat the rent stabilized in our building.<<

I've NEVER had a problem with MR tenants. Sure a number of them could think that the older RS tenants are leaches, but that's just divisive stuff that will not help any sincere tenant here.

Folks, we have to stick together. Older RS tenants have to realize, and I'm sure many do, that our MR tenants just want to live here in peace and raise their families, as they themselves did decades ago.

Anonymous said...

Fred Knapp and Richard Demarco and Yvette McPherson, Jerome Gillman and Pamela Gillman built all the dorms and are still building the dorms.

Noise complaints and disturbance of the peace reported to 311 (with the names of the tenants occupying the noisy apartment) and to the emails of the dorm resident hall leaders (previously posted by another commentator) can also be reported to DeMarco and the Gillmans since they are the ones building all the dorms.

They are the ones causing the circumstances leading to the noise, drunken messes, pissing in the stairways, and all that goes with the frat parties.


a810-bisweb.nyc.gov/bisweb/BScanJobDocumentServlet?requestid=8&passjobnumber=122410202&passdocnumber=01&allbin=1082857&scancode=SC140905019

MONTROY DEMARCO LLP
Richard DeMarco
212 481 5900
Richard De Marco RDEMARCO@MADGI . COM

Montroy Andersen DeMarco
99 Madison Avenue, 14th Floor
New York, NY 10016
USA



and
Yvette McPherson
work 212 349 9304
mobile (917) 617-5237
YVETTE@GILLMANINC . COM
AT
Jerome S. Gillman Consulting Architect, P.C.
Location
40 Worth St., 1630
New York, NY 10013
Tel: 212-349-9304
Inquiries
Pamela Gillman
Pamela@JeromeSGiLLMan.com

and the President
Laurence Gillman



FED UP WITH THE DORMS!

Anonymous said...

All the market rate tenants I spoke with were planning on flipping their apartments for either a house in the suburbs or some were planning on flipping their PCV apartment for retirement in the sun. I am not so sure the majority of market rate tenants want to plant roots. The promise was to make them "overnight millionaires" and the only way to do that is to buy then sell.

Anonymous said...

The way I see it De Blasio saved what is left of the community from the grips of Dan's bad plan. Why Viverito and De Blasio keep hugging Dan after press conferences is curious. The best thing for NYC is to get Dan and all his pals out of public office just vote them all out.

Anonymous said...

Yup, this place blows.

Anonymous said...

A question for Saturday meeting. What are the names of the PEOPLE whoa re our landlords. I am sick and tired of the Attorney General letting Peter Cooper Village Stuyvesant Town landlords hide behind shell company names so they have no accountability for what they do here and we are hindered in courts. Filing a harassment complaint on a false accusation golub claim that hurts my reputation and is used to threaten me should be a crime, but if I have to file in civil court a harassment claim I want the names of the people making the claim.

Blackstone better bring a list of names of all the investors / landlords.

Steinberg better bring a list of the previous landlords names of the people and not the shell companies. The TA should have posted those people's names on their website in 2007 if they were ever on the side of protecting tenants and not covering for the landlord.

Stuy Town Reporter said...

>>All the market rate tenants I spoke with were planning on flipping their apartments for either a house in the suburbs or some were planning on flipping their PCV apartment for retirement in the sun. I am not so sure the majority of market rate tenants want to plant roots. The promise was to make them "overnight millionaires" and the only way to do that is to buy then sell.<<

Truthfully, that was also the hope of some older RS tenants. The condo plan had a built-in response to that, so that flipping would be much harder and contain a time element. This flipping is one reason I was against the condo plan. My focus was, and still is, affordability of renting here.

Anonymous said...

off topic, anyone have the link to pay rent on line? also, does the amount OWED show up there ? TY

Anonymous said...

this is so unreal!

Wht about tenants/ families of 3 or more who pay market rates ( and earn less than 104k), high rents and want to be in the lottery? Are they qualified, how and when ?

Anonymous said...

NOTHING WILL CHANGE!

Anonymous said...

hmmmm doubt the MR families would be flipping, they have kids and education and schools. It is the RS who are flipping.

Anonymous said...

"off topic, anyone have the link to pay rent on line? also, does the amount OWED show up there ? TY"

Yeah, they are really good with the online system. They keep a running tally of charges and credits.

Anonymous said...

8 38!!! YES, WHAT ABOUT MR WHO NEED A BETTER RENT, LWOER RENT, SOME FUTURE HERE. DOES ANYONE CARE?

Anonymous said...

how the F is this better for Roberts tenants? it seems far worse than before. we're not getting a decent rent, we're not getting a 1% increase at renewal... w.t.f.

Anonymous said...

REpeating a prior poster = they better give preference in the lottery to current tenants. that would be a royal suck it if not.

Anonymous said...

I have a couple of interesting thoughts/questions about this deal.. From the way I read the information on Dan Garodnick's web page, these "5000" apartments appear to be comprised of the already existing 5000 UN-renovated RS apartments now occupied by long term tenants. Protections continue under rent stabilization laws for now but FUTURE tenants would benefit from a base rent cap of around $3200 a month, BUT it appears that after 20 years, these apartments fall out of RS, regardless of the validity of the rent stabilization laws, 20 years hence. Did Albany agree to discontinue RS for these apartments in the future ?

It also doesn't seem to state that the $3200 rent cap applies to current RS leases.

"For the 5,000 units under this agreement, rents will be capped at a price where a FUTURE middle-income tenant can afford them. A future tenant will need to “income qualify” for the units."

If this is true, it's a pretty big deal, considering that the turnover on those apartments is now slowing down, with many first generation tenants entering their 90's, and second and third generation tenants proportionately younger.. Feel free to guesstimate the math on those leases now approaching $2000 a month with future RGB increases to be factored in.

"In this agreement, Blackstone has agreed to preserve 5,000 units as affordable for the next generation of middle-income tenants for a minimum of 20 years. These units will be rented to people who “income qualify.” Absent any further agreement with the City or State in the future, after 20 years rent increases would be phased in over a five year period (from 2036 - 2041). It stems the loss of about 300 rent-stabilized units every year. "

I assume "income qualify" only applies to new tenants seeking one of these 5000 apartments. Also, in Googling around to check the "median income" numbers, I can't seem to find any matching numbers. Has anyone asked where these numbers are sourced from ? Is there an official source for these income numbers ?

Seems like there's an awful lot of things not being said here.

Anonymous said...

"Is there an official source for these income numbers?"

Media quotes attributed to Alicia Glen claim current PCVST resident income averages were/will be used to calculate caps imposed on future PCVST lottery winners. So commencing immediately, the mayor's evolving, ever changing definitions for "middle class" and "average income" and "affordable" applied to prospective PCVST lottery winners are only guaranteed to drop higher and higher amounts of $$$ into Blackstone's subsidized pocket.

Other than Blackstone, the only beneficiaries of Mayor de Blasio’s “regulatory agreement” with Blackstone are theoretical lottery winning, income scrutinized PCVST residents projected to replace 5,000 vacating or dying “traditional” RS residents, thousands of whom will not vacate or die before 20 years pass by. The mayor's 5,000 theoretical PCVST lottery winners don’t exist, at least not yet, and it's highly unlikely many thousands of them will ever exist.

Any consideration for ongoing financial stress and future affordability for 12,000-15,000 living, breathing PCVST residents actually living inside 5,000 longer term RS and 1,400 Roberts settlement RS apartments in PCVST is also theoretical, or at best an afterthought. - Can it be possible our nation's #1 real estate predator Blackstone has no theoretical incentive to boot us out of our PCVST homes? - That's our middle class victory?

Anonymous said...

7 19 !!! HOW CAN THEY NOT GIVE PREFERENCE TO CURRENT TENANTS WHO ARE CLEARLY OVERPAYING? HUH???

Anonymous said...

affordable units need to be offered to current tenants , those who have families here are struggling at the market rate. Very fucking unfair and you should all be outraged.