Working Families

This just in:

Members of Tenants Political Action Committee and Metropolitan Council on Housing gathered today outside a large rent-stabilized apartment complex in Harlem to endorse New York City Comptroller William C. Thompson for Mayor.

“Bill Thompson has been a strong and consistent advocate for tenants,” stated Michael McKee, treasurer of Tenants PAC. “After eight years of a landlord-driven agenda under Mike Bloomberg, we need a tenant activist in City Hall. Tenants cannot afford another eight years of Bloomberg’s pro-landlord policies.” Tenants PAC supported Thompson in 2001 when he first ran for Comptroller.

Accepting the endorsement, Comptroller Thompson stated: “For eight long years, the hardworking men and women of New York City have had to struggle under the weight of Mike Bloomberg’s failed policies. He, along with his appointees on the Rent Guidelines Board, has continuously shown a tin ear to the needs of our middle class. While rents continue to increase and other costs skyrocket, the Bloomberg administration has catered to the developers, Wall Street, the wealthy. Eight years is enough.

New Yorkers deserve much more than Mike Bloomberg’s trickle-down policies. As a mayor for all New Yorkers, I will provide the leadership that our City needs in these tough times.”

The endorsement rally took place outside The Riverton, a 1230-unit rent-stabilized complex located at 135th Street and Fifth Avenue. In 2006 the complex was sold to Larry Gluck of Stellar Management, who paid a price far higher than commercially reasonable standards. Gluck’s business plan, which turned out to be unrealistic, was predicated on the eviction and displacement of large numbers of rent-protected tenants in order to be profitable.

This type of speculative investment was made possible by weakening amendments to the rent laws, most importantly vacancy decontrol provisions that allow landlords to raise rents to market rates – if they can get the rent-protected tenants out. This not only depletes the affordable housing stock, but also encourages landlords to use any means possible, legal or illegal, to push rent-protected tenants out.

Gluck failed to displace enough tenants and has defaulted on his debts, with the result that The Riverton is now in foreclosure. The Riverton was recently reappraised at a value of $108 million even though the mortgage debt is $225 million. The Riverton is only one of many Harlem apartment complexes that have been put at risk by predatory landlords.

Mario Mazzoni, organizer for Met Council on Housing, said: “The Riverton debacle is a perfect example of the failed policies of the Bloomberg administration. When landlords are given free reign to speculate on our affordable housing stock, tenants suffer and neighborhoods are destabilized.

“The legacy of the Bloomberg administration has been deregulation, skyrocketing rents, increased evictions, developer frenzy and the destabilization of neighborhoods. Mike Bloomberg has refused to lift a finger to win legislation in Albany to reverse this cycle. We look forward to having a real tenant advocate like Bill Thompson in City Hall. The tenants of New York City and our threatened housing stock cannot afford another eight years of Bloomberg.”

State Senator Bill Perkins (D-Manhattan) and State Assembly Member Keith Wright (D-Manhattan) joined the tenants at the event. Mr. Wright lives in the Riverton.