In a major financial blow to the owners of Stuyvesant Town and Peter Cooper Village, the State Court of Appeals ruled that some 4,000 rent-stabilized apartments were illegally deregulated in the past decade. That means that the current ownership group, led by Tishman Speyer and BlackRock (which are already basically out of cash for the project) and prior owners Metropolitan Life will have to pay an estimated $200 million in damages and rent overcharges to tenants. According to the ruling, the complex was receiving J-51 tax breaks from the city for major renovations, which barred them from luxury deregulation, and they'll have to pay back the tenants for the higher rents — and adjust future rents accordingly (they continue to receive the tax breaks). Of course, figuring out just who is owed what could take years. But as it stands now, a whole bunch of current and former tenants look to get a lot of money back. Whether or not the "dire financial consequences" the owners predicted for "themselves and the New York City real estate industry generally" come to pass also remains to be seen.
Most Viewed Stories
Mariah Carey Is Just as Oblivious to Age as She Is to Jennifer Lopez
Terry Richardson Shot Miley Cyrus for CANDY Magazine and It’s As NSFW As You’re Imagining
Who the Jessica Jones Characters Are in the Comics and How They Connect to the Marvel Universe
13 Movies to See (or Not) This Thanksgiving
Eagles of Death Metal Give Heartbreaking First Interview After Paris Attacks
Ask Polly: I’m Sick of Being Unhappy and Alone!
20 Marvel ‘Firsts’ in Jessica Jones
Stop Reverting to Childhood on Your Holiday Visit Home
Jennifer Lawrence Has Delightful Ways of Describing Chris Pratt
’N Sync Members Bow to Adele’s 25 With the Quiet Grace of Men Who Know They Have Lost to Their Superior
Latest News from Daily IntelligencerTuring Pharmaceuticals Was Actually Kidding About Reducing Price of Drug
Here's one thing your entire family can be outraged about this Thanksgiving.Obama Tells Americans to Chill Out and Enjoy Thanksgiving
Intelligence suggests that the only specific and credible threat facing the homeland is overeating.Walmart’s Black Friday Spies
Save money. Sneak better.Terrorism in the Age of Trump
What’s changed in the right-wing brain since 9/11.Military Releases 3,000-Page Explanation of Why Kunduz Hospital Was Bombed
It's just a case of operator error and instrument failure — not a war crime!De Blasio and Cuomo Are Super Thankful for Each Other This Year
The elected officials know that Thanksgiving is best celebrated by yelling about people you say you care about.Is Donald Trump a Fascist?
Is it fair to call Donald Trump a fascist just because he feels like one?Drunk Russian Sailor Crashes Massive Cargo Ship at Full Speed
The 7,000-ton ship was so badly damaged it had to be scrapped.Football Fan Gets Back at Cops Who Ejected Him From a Game by Sending Them Doughnuts
No one ever says that revenge tastes like coconut.Russia Readies Missile Systems in Syria But Does ‘Not Plan to Go to War With Turkey’
The tensions over the downed warplane continue.
Trump fans aren't content to just vote for him anymore. Now they have to be him.5 Amazing Stats From the Warriors’ Historic 16-0 Start
It's the best start in NBA history.Ted Cruz and James Woods Spend 40 Minutes Talking About How Much They Love This Country
A reconstruction of a historic meeting of the minds.Is Ted Cruz the Candidate Who Can Beat Donald Trump?
He’s polling second in Iowa, so it’s his turn to be the GOP’s primary darling.Newborn Found in Nativity Scene at Queens Church
The healthy baby boy was found in the appropriately named Holy Child Jesus Church in Richmond Hill.Protests Erupt in Chicago Over Video of Cop Fatally Shooting Black Teen
Officer Jason Van Dyke was charged with murder on Tuesday.City Hall Calls an Audible on Carriage Horses
Mayor de Blasio is apparently trying to find a middle ground that would reduce the number of carriages and make a few tweaks to the industry.Hillary Clinton Promises to Stop Saying ‘Illegal Immigrant’
"That was a poor choice of words."An Unconfirmed, Unlikely (But Yet-to-Be-Refuted) Conversation Between Bernie Sanders and Killer Mike
What were they talking about anyway?What You Missed in Sheldon Silver and Dean Skelos’s Corruption Trials
The jury begins deliberating Silver's fate.