Sample Projects
351 St. Nicholas Avenue
In 1998, the tenants of this development were living in horrid conditions. A slumlord had owned the building during the previous 6 years.
Problem
In 1998, the tenants of this development were living in horrid conditions. A slumlord had owned the building during the previous 6 years. He collected rent without performing any improvements or maintenance to the property. Tenants were without heat and hot water for most of the Winter and the elevator in one building often malfunctioned. Seniors in the building had to climb five flights to enter their apartment. Furthermore, the neglect by the landlord engendered drug activity.
The tenants successfully organized and transferred management of the building to the 7A Administration unit of HPD. The tenant association wanted all outstanding major maintenance items to be repaired and wanted to eventually buy the building as a cooperative.
Solution
Horsford & Poteat Realty (HP Realty) was hired as a 7A Administrator. Through intensive negotiations with NYC HPD, HP Realty raised $600,000 in order to repair immediate building concerns. These renovations included repair of the roof and all plumbing concerns. HP Realty then structured a financing package through HPD and the NYC Community Preservation Corporation to provide an additional $1.5MM in renovation loans to the building and will assist the tenants to form a cooperative corporation that will eventually buy the building once renovations are completed. HP Realty through its affiliate company, Apex Building Company, served as general contractor.
Scope of Work
Renovation of 2 buildings and 50 units of affordable rental housing.
Total Project Cost
$2,000,000
Reference
Roger Ho
NYC HPD
(212) 863-6415