Brooklyn, NY – New York state housing authorities have, for now, stopped one of the richest real estate deals in New York City history.
Subscribe to our Daily Roundup Email
Housing Commissioner Deborah Van Amerongen told The Associated Press on Saturday that her office has rejected a developer’s second $1.3 billion attempt to buy Brooklyn’s Starrett City complex “because we don’t believe it protects the residents.”
“What they want to do is to implement a market rate rent for all the units,” Van Amerongen said. And that means, she said, that rents would increase for most apartments occupied by 12,000 people on the 140-acre (56.66 hectares) property, which is subsidized under the state’s Mitchell-Lama housing plan as well as federal programs.
It was the second try by Clipper Equity LLC partner David Bistricer to get approval to purchase Starrett City, the nation’s largest federally subsidized housing complex. This time, he made a greater effort to address the issue of affordability, and how it might be secured _ through “enormous” government subsidies, the commissioner said. Federal housing officials, who also are reviewing the plan, have not yet issued their opinion on the new proposal, the commissioner said. [VIN]
To read More
