Page 4 - CooperatorNews NY April 2022

4 COOPERATORNEWS — APRIL 2022 COOPERATORNEWS.COM PULSE Industry Pulse Events CooperatorEvents Expo Returns to the Hilton This Spring coopexpo.com The CooperatorEvents New York Expo returns to the New York Hilton Midtown on Wednesday, May 11, 2022 from 9:00 a.m. to 4:30 p.m. We have an exciting lineup of ex- hibitors eager to interact in person, cover- ing every aspect of multifamily living—from board governance, financial planning, and community engagement to roof repair, ener- gy management, and landscape design. Like our past in-person Expos, the CooperatorEv- ents New York Spring Expo 2022 will include a full day of free seminars, networking, and more. And as always, registration and atten- dance are FREE to all! Visit www.coopexpo. com to see who’s exhibiting, get more infor- mation, and register as an exhibitor or an at- tendee. This will be a must-attend event for all co-op and condo board members, proper- ty managers, residents, and real estate profes- sionals in the Empire State! We look forward to seeing you there! Transactions High-End Homes Show “Incredible Resilience” Luxury real estate in Manhattan shows no signs of slowing down. In fact, it is already setting records in 2022, according to Man- sion Global. In spite of the ongoing global pandemic and the world’s tumultuous eco- nomic and political environment, the outlet reports that Olshan Realty documented 244 signed contracts on homes with asking prices of $4 million or more during the first two months of 2022—a record total for January and February. In the final week of February, 34 contracts in the luxury bracket were signed, with a to- tal value of $272.695 million and a median asking price of $6.645 million, reports Man- sion. The prior week saw 39 luxury units go into contract at a collective worth of $335.2 million—“an impressive total considering the troublesome performance of the stock mar- ket thanks to soaring inflation, rising inter- est rates, and the Russia-Ukraine crisis,” says Donna Olshan, author of the Olshan Report and president of Olshan Realty. The ongoing trend “just shows an incredible resilience in the New York market,” she continues. The most expensive contract to end the month was a full-floor penthouse asking $24.95 million at The Bellemont, the Robert A.M. Stern-designed building at 1165 Madi- son Ave. on the Upper East Side. The previ- ous week’s most expensive contract was for a duplex penthouse at 111 West 57th St. that was asking $53.8 million. According to Mansion, those who work in the upper echelons of residential real es- tate note that it has always been seen as a safe place for the ultra-wealthy to park their money during uncertain times, which might account for the non-stop activity in this sec- tor lately. Co-op Residents Face Displacement The Real Deal reports that dozens of resi- dents are in danger of losing their homes as a private equity firm looks to sell their units. In 2020, says the outlet, Glacier Equities acquired the unsold shares connected to 255 apartments across nine co-op buildings in Manhattan and the Bronx for $23 million. After selling two of the buildings—85 Mc- Clellan and 2265 University Avenue—to De- nali Management, Glacier is giving residents of its remaining portfolio the option to buy their apartments or leave the buildings. The reporting indicates that there are open eviction proceedings against at least 28 of the tenants, the vast majority of whom Gla- cier says are far behind on rent. Some tenants received 90-day non-renewal notices quickly after the portfolio sale, according to TRD. “Any tenant who is directly communicat- ing and in active discussions with us about relocation or purchasing will not be evicted,” says a Glacier spokesperson. “We are more than willing to waive arrears to help with ten- ants’ relocation and will not be pursuing the payment of back rent upon vacating.” Glacier’s notices to tenants have renewed calls for “good cause” eviction protections, designed to give tenants in good standing the right to a lease renewal and capped rent increases. “We would like to see good cause pass so that they can’t just decide to evict them because they want to sell these apart- ments,” says Jessica Bellinder, supervising attorney with the Legal Aid Society’s Bronx office. The Glacier spokesperson, however, noted that nearly all of the 28 tenants who received eviction notices would not be pro- tected by “good cause” because they owe rent. Local Councilmember Pierina Sánchez, who happens to own a co-op unit in one of the Glacier buildings, has accused the firm of “preying on disinvested neighborhoods,” although Glacier says its plan to upgrade the building is an investment in the area. A spokesperson for Attorney General Le- titia James expressed concern for the tenants on her behalf, encouraging the developer to find a resolution to the displacements. Financing State Ensures Mitchell-Lama Affordability for 30 More Years Inwood Tower in Manhattan’s Washing- ton Heights is one of the state’s Mitchell- Lama buildings to receive money from a grant intended to keep the program’s 22,000 units affordable for low- and middle-income New Yorkers. Through an agreement with New York State Homes and Community Re- newal (NYHCR), reports website 6sqft, the uptown co-op will get a $7.6 million subsidy loan to use for essential repairs and will re- main in the Mitchell-Lama program for at least 30 more years. Built in 1963, Inwood Tower is home to 190 low- and middle-income households. The grant will allow the co-op to remain af- fordable for these families while being able to repair elevators and gas lines; replace roofs, boilers, piping, radiators, façade, and bricks; and incorporate a number of energy-efficient measures that will reduce the development’s energy costs and help it to comply with the state’s carbon reduction goals. In a statement, co-op president Eileen King says, “The cooperators of Inwood Tow- er recognize that through the Mitchell-Lama Program, we enjoy fair housing that is inte- grated and diverse. With this loan, Inwood Tower can address major capital repairs needed for our nearly 60-year-old building and comply with new environmental re- quirements and still maintain affordability for decades to come. Homes and Commu- nity Renewal continues the commitment of Mitchell-Lama housing to reduce the rent burden on families so that they are not using most of their income for housing costs.” Governor Kathy Hochul, who announced the agreement as part of New York’s five-year Housing Plan, says, “As New York State takes action to combat the housing crisis in the wake of the pandemic, this agreement pro- tects critical support for an affordable hous- ing community in an increasingly unafford- able neighborhood. New York will continue to preserve and upgrade affordable housing developments across the State in order to en- sure that they remain a safe and affordable housing resource for the next generation of New Yorkers.” Renovations Co-op Club Room Gets a Makeover Another Washington Heights Mitchell- Lama cooperative, River Terrace, recently upgraded its former men’s club. Curbed re- ports that the building, on Riverside Drive and 158th Street, has a space under the lobby that had been used as a gathering and rec- reation spot exclusively for the co-op’s male residents from the late 1960s until the early aughts. After the original membership had nearly all moved or passed away, says the continued on page 18 YOU’LL LEARN SO MUCH YOUR HEAD COULD EXPLODE. (Our lawyers said we had to warn you.) NEW YORK HILTON MIDTOWN — WEDNESDAY, MAY 11, 9:00–4:30 FREE REGISTRATION: COOPEXPO.COM