Archive for Publications

Inside Edge: Riverton Sold at Auction

As CHPC predicted in Debt Threat, the unwinding of 100,000 units of over mortgaged housing has begun with the auction sale today of Riverton Apartments. In the first completed foreclosure of that process in New York City, Riverton Apartments has been taken over by CW Capital the Special Servicer of the Commercial Mortgage Backed Securities Trust that held its mortgage.

With about 100 onlookers, the auction pitted the Trust against one cash bidder, David Bistricer who is familiar to those who have followed the Starrett City sale and refinancing. Despite a recent appraisal of $108 million, the bidding rose to …

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Inside Edge: First, Do No Harm – Counting on Section 8 Rent: Why HUD Should Hold Affordable Housing Harmless

Affordable housing owners may find themselves in financial jeopardy later this month due to suddenly declining rents. Tenants may find themselves ineligible to live in subsidized buildings for which they have been on waiting lists for years. And well-maintained buildings may find themselves unable to continue to finance proper maintenance. All this may be the result of the U.S. Department of Housing and Urban Development (HUD)’s decision to revoke a successful hold harmless policy.

For the past few decades, federally-assisted affordable housing owners have been on autopilot when it comes to calculating rents. Every year, HUD issues its area median …

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Debt Threat Report

In 2009, CHPC released a report that spearheaded the debate around multi-family buildings that were going into foreclosure. It described the problems associated with over mortgaged multifamily rental proper ties in New York City, and the wider implications of over mortgaging across the country. If offered analysis of data on properties secured through CMBS activity between 2004 and 2007, as well as more recent anecdotal examples of impacted residential properties in NYC. And finally, and most importantly, it put forward public policy recommendations at the federal, state, and local level.

Debt Threat: Saving Multifamily Rental Housing From Zombie Mortgages


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Inside Edge: Impact of new regulations on New York City’s Residential Mortgage Market


Citizens Housing & Planning Council recently convened a meeting of practitioners from the housing industry to discuss the state of the residential retail mortgage market and its impact on the housing market. The discussion was led by Dan Levitan, a founding partner of the Home Mortgage Acceptance Corp. (HMAC), currently Managing Director at The Manhattan Mortgage Company (MMC) and Lisa Ryell, Managing Director at MMC.

The global recession is well underway, fueled in large part by the U.S. mortgage market collapse in 2007. Fannie Mae and Freddie Mac, which were placed into conservatorship in September 2008, and which have received …

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Inside Edge: New Federal Lead Rule Around the Corner

Seventeen years after the passage of the federal Residential Lead-Based Paint Hazard Reduction Act of 1992, the final pieces of the implementing regulations are about to go into effect. As set forth in a prior Inside Edge (July 2008, EPA’s New Layer of Lead Paint Rules), unless action is taken by the New York City Council and the relevant city agencies this will result in a new level of confusion and complexity in New York City.

These rules were issued by the US Department of Environmental Protection (EPA) in April of 2008. They govern the precautions that must be taken …

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Inside Edge: Court of Appeals Delivers Final Word on Stuy Town

The Inside Edge has been closely following the case of Roberts vs. Tishman from Supreme Court (see The Inside Edge, September 2007 edition) to the Appellate Division (see The Inside Edge, March 2009 edition). Now the Court of Appeals has issued a ruling that finally settles the issue of whether buildings with J-51 tax benefits can utilize the luxury decontrol provisions of the rent stabilization law. They can’t.

But in answering this question the Court of Appeals has clarified the law on how to deal with this problem going forward. It has, however, not provided guidance …

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